Metaverse in Gaming Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The metaverse in gaming market size has grown exponentially in recent years. It will grow from $47.71 billion in 2024 to $67.96 billion in 2025 at a compound annual growth rate (CAGR) of 42.4%. The growth in the historic period can be attributed to growing popularity of owning virtual assets such as NFTs, the development of gaming, development of VR and AR-related games, and research and development in metaverse.

The metaverse in gaming market size is expected to see exponential growth in the next few years. It will grow to $276.67 billion in 2029 at a compound annual growth rate (CAGR) of 42%. The growth in the forecast period can be attributed to expanding implementations of metaverse, the rising popularity of AR and VR, rapidly rising popularity of play-to-earn games, demand for immersive gaming experiences, and rising investment. Major trends in the forecast period include advancements in VR software, technological developments, innovative marketing strategies, enhancement of gaming experience through integration of 3D technology, and rapid advancements in gaming software.

The increasing popularity of augmented reality (AR) and virtual reality (VR) is expected to fuel the growth of the metaverse in the gaming market. AR enhances the real world by adding digital elements, while VR immerses users in fully digital environments through specialized headsets. The rising appeal of AR and VR is driven by their capacity to offer immersive, interactive experiences in fields like gaming, education, healthcare, and entertainment, reshaping how digital content is experienced and interacted with. In the gaming metaverse, AR and VR are used to create interconnected virtual worlds where players can engage with both each other and the environment, enhancing gameplay and social connections. For example, a report from Threekit, a U.S.-based visual commerce platform, in August 2023, predicted that by the end of 2024, 1.73 billion AR devices will be in use globally, reflecting a significant increase in the accessibility of AR technology. Additionally, 88% of medium-sized businesses are currently using or testing AR for various purposes like sales and product development, while 61% of consumers report that retailers are offering AR shopping experiences, highlighting the growing consumer interest in interactive shopping. As a result, the rising popularity of AR and VR is driving the expansion of the metaverse in the gaming market.

Prominent entities in the gaming metaverse domain are prioritizing the development of advanced platforms, such as community-driven gaming platforms, to enrich immersive experiences and cultivate user engagement. These platforms harness the collective creativity, passion, and expertise of players to shape gaming experiences and foster vibrant, thriving communities. For example, in January 2024, Nifty Island LLC, a US-based play-to-earn gaming platform, unveiled the open beta version of its metaverse games, offering players a distinctive gaming environment featuring avatars from renowned non-fungible token (NFT) collections such as Azuki, Bored Apes, CloneX, and CoolCats. Nifty Island's play-to-airdrop system further incentivizes player participation by rewarding them with tokens and NFTs, enhancing the integration between the game and the broader Web3 ecosystem, thereby aligning with the decentralized and interconnected ethos of the metaverse.

In January 2022, Microsoft Corporation, a leading US-based technology company, completed the acquisition of Activision Blizzard Inc. for a substantial sum of $68.7 billion. This strategic acquisition is poised to accelerate Microsoft's gaming endeavors across diverse platforms, including mobile, PC, console, and cloud. Moreover, it serves as a cornerstone for metaverse development, highlighting the pivotal role of gaming in shaping metaverse platforms. Activision Blizzard Inc., a prominent US-based video game company specializing in the metaverse gaming space, brings valuable expertise and assets to Microsoft's gaming portfolio, further solidifying its position in the burgeoning metaverse landscape.

Major companies operating in the metaverse in gaming market are Microsoft Corporation, Meta Platforms Inc., Sony Corporation, Fujitsu Limited, Nvidia Corporation, WPP plc, NetEase Inc., Electronic Arts Inc., Vertiv Group Corporation, Epic Games Inc., Autodesk Inc., Roblox Corporation, Unity Software Inc., Axie Infinity, Magic Leap Inc., Kellton Tech Solutions Ltd., LeewayHertz Inc., Aetsoft Inc., Aptos Labs, SmartMedia Technologies Inc., Spatial Systems Inc., The Sandbox.

North America was the largest region in the metaverse in gaming market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the metaverse in gaming market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the metaverse in gaming market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The metaverse in gaming market consists of revenues earned by entities by providing services such as cloud gaming services, subscription-based access, personalization, and customization. The market value includes the value of related goods sold by the service provider or included within the service offering. The metaverse in the gaming market also includes sales of gaming consoles, motion controllers, haptic feedback devices, specialized input devices, and high-performance PCs. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The metaverse within gaming denotes a digital environment where users can interact in real-time, engaging with both each other and digital assets across various platforms and games. It represents a fusion of virtual reality, augmented reality, and internet technologies, aimed at establishing immersive, persistent worlds transcending individual gaming experiences.

The key elements of the gaming metaverse encompass hardware, software, and services. Hardware pertains to the tangible devices and tools utilized for accessing and engaging with virtual environments, including VR headsets, motion controllers, and haptic feedback devices. Technologies such as non-fungible tokens (NFTs), blockchain, virtual reality (VR), augmented reality (AR), mixed reality (MR), and extended reality (XR) cater to a spectrum of gaming genres, spanning action, adventure, role-playing games (RPGs), simulation, sports and racing, strategy, sandbox, card and casino games, among others. These offerings cater to diverse age demographics, segmented into age groups including below 21 years, 21 - 35 years, 36 - 50 years, and 51 years and above.

The metaverse in gaming research report is one of a series of new reports that provides metaverse in gaming market statistics, including the metaverse in gaming industry's global market size, regional shares, competitors with a metaverse in gaming market share, detailed metaverse in gaming market segments, market trends and opportunities, and any further data you may need to thrive in the metaverse in gaming industry. This metaverse in gaming market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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