The Silent Rise of the Metaverse

Published by: Anusha Sharma

In the boom of the digital age, one of the most cutting-edge technologies to emerge is the metaverse. Defined by McKinsey & Company as an evolving 3D digital space characterised by immersive experiences, persistent virtual worlds, and the convergence of physical and digital lives (McKinsey & Company, 2022), the metaverse is powered by technologies like virtual reality (VR), augmented reality (AR), mixed reality (MR), and blockchain. So, what actually is the metaverse? It can be broadly described as a network of interconnected virtual spaces where users interact through avatars. Its research and development is powered by companies like Meta, Roblox, and Epic Games who are at the forefront, investing billions into enhancing and constructing a successful and immersive metaverse. Furthermore, it is often referred to as the “next-generation internet” (Pew Research Center, 2022), highlighting its capacity to reshape the world; the metaverse holds the potential to transform entertainment, work, education, healthcare, and commerce. 

Source: Search Engine Journal 

Technology of the Metaverse 

The metaverse is built on “a foundation of seven layers” (McKinsey & Company, 2022). These seven layers refer to the technologies used in its construction, which are what enables users to be immersed in a lifelike reality, see avatars that can mimic human movement, and interact with other users in real time. These seven layers are essential to making the metaverse function smoothly. 

Constructing virtual worlds within the metaverse involves a complex mix of creative design and advanced computing technologies. At its core, the metaverse utilises powerful game engines, which are essential to rendering lifelike environments, animating avatars, and building 3D interactive experiences. The game engines they use, including Unity and Unreal Engine, are the same engines that we see in games such as Fortnite or Roblox.  

The metaverse additionally relies on technologies like 3D modelling, animation, and motion capture to make avatars come to life and appear more realistic, which helps in the design of everything from facial expressions to movements, making interactions in virtual spaces feel more natural. The metaverse makes use of networking infrastructure to ensure users around the world can interact with each other in real time. In conjunction with the rendering technologies and game engines, the networking infrastructure allows your avatar to wave at a friend or high five them without lag.  

Source: Instabug Top Game Engines 

The actions that avatars take need to be coded into the virtual environment using programming languages like C#, JavaScript, or Python, which define how characters move, interact, and respond within the digital world. Increasingly, artificial intelligence is being added to make experiences smarter - like making characters lifelike and programming them to respond to your actions or generating new content automatically.  

Challenges in creating the metaverse 

Just a few years ago, the metaverse was dominating tech headlines, incorporating bold claims about its potential to transform industries and billion-dollar investments into this newly emerging technology. Many may have noticed that interest surrounding the metaverse has significantly cooled. Major platforms have scaled back their ambitions, and public enthusiasm has waned as practical challenges became increasingly apparent. However, behind the scenes, development continues, and the barriers to the metaverse’s integration into everyday life are gradually dissipating. 

The predominant hurdle is scalability - supporting millions of users simultaneously in a persistent virtual world requires robust infrastructure which is capable of handling vast amounts of data and real-time interactions without compromising performance (SpringerLink, 2023). Another critical issue is interoperability - the ability for different metaverse platforms to work together seamlessly. Currently, many virtual environments operate in silos, limiting user experiences and the transferability of digital assets (World Economic Forum, 2023). Additionally, hardware limitations pose barriers; high-quality AR/VR devices necessary for immersive experiences are often expensive and not widely accessible, creating a digital divide (SpringerLink, 2023). These challenges underscore the need for ongoing technological advancements and standardisation efforts to realise the metaverse's full potential. 

Applications of the metaverse today  

Regardless of challenges, development on the metaverse is still continuing, particularly in select domains. Although it's in the early stages of being implemented in a broader context, the metaverse is already being embedded across a wide range of industries, including entertainment, retail, education, and healthcare. 

In the world of entertainment, platforms like VRChat, Roblox, and Fortnite allow users to attend virtual concerts, socialise in immersive environments, and, most commonly, play interactive games, demonstrating how digital spaces are becoming mainstream venues for social connection (SpringerLink, 2023). In commerce, companies like Nike and Gucci have launched virtual products and branded experiences (Vogue Business, 2021), while others experiment with digital fashion and NFTs to create contemporary and state-of-the-art forms of consumer engagement (Forbes, 2022). Brands are also exploring gamified commerce - fun, interactive shopping experiences designed to attract and engage customers during events or product launches (McKinsey & Company, 2022). Additionally, companies such as IKEA are testing interactive 3D store layouts powered by game engines to let users visualise and interact with products in a virtual setting (Accenture, 2023). 

Source: Gucci 

Beyond consumer-facing applications, the metaverse is gaining traction in enterprise and industrial settings. One of the most advanced uses is in industrial simulation, where platforms like NVIDIA Omniverse allow companies to create digital twins - virtual versions of real-world factories, warehouses, and systems - to test designs, improve workflows, and reduce costs before making physical changes (NVIDIA, 2023). Similarly, training and upskilling are being transformed by the metaverse. Workers in fields like healthcare, aviation, and engineering can now practise in realistic virtual environments, gaining hands-on experience in a safer, more controlled space (Accenture, 2023).  

In education, immersive methods like virtual classrooms, gamified learning, and simulation-based training are already being explored in schools and universities, especially in medical and engineering fields where physical experimentation may be costly or risky. Meanwhile, in healthcare, the metaverse is being used for patient education, virtual physiotherapy, and even VR-based therapy sessions that combine immersive visuals with real-time feedback to support rehabilitation and mental health (SpringerLink, 2023). The popularisation of this technology in these sectors marks a shift in how learning and teaching will take place in future education, helping to make learning more accessible and globally connected. 

Looking forward 

While the metaverse may no longer dominate headlines, its development continues in meaningful and practical ways. From immersive learning and digital commerce to industrial simulation and virtual healthcare, its applications are steadily expanding and its integration into daily and professional life is already underway across multiple sectors. As technology improves, the metaverse remains a space with the capacity to reshape how we work, connect, and experience the digital world. 

This article is published by CCA, a student association affiliated with Monash University. Opinions published are not necessarily those of the publishers. CCA and Monash University do not accept any responsibility for the accuracy of information contained in the publication.