Estimates peg the metaverse industry to be worth $5 trillion by 2030. The metaverse is where folks can virtually interact with each other and the environment. According to consulting firm McKinsey, the industry is poised to generate $5 trillion in sales by 2030. It's no surprise that companies are lining up to capitalize on the massive opportunity. Investors, too, can take advantage of this emerging trend.
My two favorite stocks for investors looking to benefit from the growth of the metaverse are Meta Platforms(META -0.11%) and Roblox(RBLX -2.19%). The former is newly entering the industry with big ambitions, and the latter is one of the pioneers of the metaverse. Let's see why each deserves a spot in your portfolio.
Meta has big plans for the metaverse Meta Platforms was formerly known as Facebook. For over a decade, it has operated a dominant social media business with nearly 3 billion daily active users across its platforms, including Facebook, Instagram, WhatsApp, and Messenger. With its CEO Mark Zuckerberg anticipating changing consumer trends, the company announced a substantial pivot to become a metaverse-first business. Meta Platforms already spent $10 billion in 2021 building out this vision. To put that figure into context, Meta's total revenue that year was $118 billion. In some ways, the metaverse is not that different from social media. It will facilitate communications through electronic devices like computers, smartphones, and virtual reality headsets. Those interactions are said to be more realistic in virtual reality, allowing for eye contact and body language, formerly unavailable through traditional electronic communications.