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Shanghai Targets a $52 Billion Metaverse Tech Economy by 2025

Shanghai Targets a $52 Billion Metaverse Tech Economy by 2025

By 2025, the Shanghai city government intends to intensify its efforts to establish a metaverse industry.

The Metaverse is evolving as a technology that is capturing the attention of major nations and cities around the world.

Shanghai, the most populous city in China, has published an article outlining its intention to become a major hub of metaverse activity.

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A document published last week by the Shanghai municipal government outlined its goal of developing a metaverse economy worth around $52 billion by 2025.

The big company aims to create an industry metaverse by “driving cutting-edge technological advancements” with the latest virtual reality (VR) head-mounted displays, semiconductors, cloud computing, 5G, and a variety of other future technologies.

Shanghai will create great companies in the metaverse

Wu Jincheng, director of the Shanghai Economy and Information Technology Committee, told a news conference that the funds will be used to establish 10 leading companies and 100 small organizations that “specialize in product and service benchmarking.”

The Metaverse is a 3D version of the Internet, where the digital and physical worlds intersect. It offers an immersive digital stage where users can connect and socialize through the incorporation of social networks, virtual reality, online games and cryptocurrencies.

Image: MyBC News

The policy document also proposes a series of goals to be achieved, including the introduction of a digital component in various activities and industries, such as the creation of virtual businesses, virtual tourism and related entertainment.

In the People’s Republic of China, Hong Kong, and Singapore, interest in non-fungible tokens and the metaverse has recently increased. The metaverse is often considered the digital revolution after the Internet.

Understanding China’s Upper Metaverse

According to a survey of Chinese netizens in 2021, more than 70% of the respondents claimed to have a proper understanding of the metaverse.

Wu noted that investment in the digital realm “will promote the development and upgrading of many enterprises in the real economy” and the three sectors mentioned are expected to be worth $224 billion by 2025.

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More than 60% of Chinese netizens, according to a survey conducted by Statista, have the express intention of socializing in the metaverse. Business applications must follow the completion of the user experience and entertainment elements.

Meanwhile, Italy’s Ministry of Economic Development said last week that around $45 million will be set aside for companies looking to establish blockchain initiatives.

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SCMP Featured Image, Chart from TradingView.com

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