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Morgan Stanley stated in a note that the metaverse is the next major investment theme.
Gaming is one example of a stock sector that has already benefited from it.
The note stated that it could fundamentally alter the way we interact with other people.
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Morgan Stanley stated in a Thursday note that the metaverse is the next major investment theme, and that some stock sectors have already benefited from it.
Metaverse, a virtual world that allows for immersive experiences, has seen a lot of success this year, after companies like Microsoft and Meta Platforms (formerly Facebook), switched their attention to the next generation of the internet.
Edward Stanley, equity strategist, stated that it could fundamentally alter the way we interact with other people.
Stanley stated that companies have been creating their own metaverses. He added that a true metaverse can only be created when all companies are interoperable. This will take some time.
He said that it would take years of collaboration across companies to enable users to seamlessly move between millions of experiences and to take their digital possessions and avatars with them.
Stanley listed companies that could benefit from the metaverse. He also mentioned that Roblox shares are already following the trend. Below Morgan Stanley outlined the market for metaverse, by sub-theme.
The Metaverse market addressable by sub-theme Medium or Morgan Stanley Research
He said that "newsflow surrounding the metaverse concept is high" and that companies are adopting it in increasing numbers. "The metaverse is attracting more attention from analysts and companies than any other major theme."
Stanley stated that the target audience is mainly young gamers under 17 years old, but the average age of the players is steadily rising.
The strategist also pointed out the importance of South Korea, and how the more than 400 tech companies there could help accelerate interoperability in the metaverse.
He said that metaverse activity and corporate launches were growing rapidly across a wide spectrum of geographies, from the US to China and South Korea.
