With Facebook rebranding to launch the metaverse under the new name Meta last year, the tech industry hasn’t stopped talking about the company's future and the possible implications of this so-called “metaverse”. 

Tech giants are gearing up for the metaverse

Meta is far from the only company interested in this new frontier; for example, a small underground company called Microsoft announced 3D avatars for Teams as part of their initiatives focused on virtual reality (VR) and augmented reality (AR) experiences, and recently struck a deal to acquire Activision Blizzard which may further their metaverse-related goals. But when this vision for an upgraded version of the internet we’ve come to know materializes, what will that mean for software development?

Full VR means a completely 3D environment created from a combination of software and compatible hardware. This completely immerses the user into the 3D environment, giving them the ability to interact with the virtual world in a seemingly real way. Meanwhile, AR software works in conjunction with devices such as tablets, phones, headsets, and more. These integrating devices contain sensors, digital projectors, and the appropriate software that enables computer-generated objects to be projected into the real world. Once a model has been superimposed in the real world, users can interact with it and manipulate the model.

The concept of widespread VR and AR and of a world that sees us frequently interacting via avatars in immersive digital realms is not new. The premise has fueled various works of fiction for decades, and it’s usually depicted as the ultimate form of escapism. VR devices have also become more and more commonplace as entertainment tools with the adoption of consumer products such as Google Cardboard and the Oculus Quest. Meanwhile, while proprietary AR devices exist, users don’t even need them to experience AR content as long as they have a smartphone, laptop, or other capable devices with a camera.

It seems that what companies like Faceb - erm, Meta, Microsoft, and even Tinder’s parent company Match Group envision is a level of VR and AR adoption that would see VR and AR engagement become as ubiquitous as mobile engagement today. 

What an eventual “metaverse” means for software development

If ubiquitous AR/VR engagement is the goal, then enterprise companies across industries need to consider their software delivery strategies. In much the same way businesses currently rely on mobile app development to reach their desired audiences, AR/VR development would become a necessary investment to deliver digital experiences.

That means cultivating a development team with the experience necessary to deliver AR/VR software. Developers will need to be familiar with using VR software development kits (SDKs) and AR SDKs in order to delight customers with robust product engagement options in the virtual space. 

Of course, it’s hard to say what those digital experiences will even look like at this point. Industry giants setting their sights on AR/VR engagement certainly serves as a strong signal that a new virtual reality…reality…is coming eventually. But is it just around the corner? Or is it still a sci-fi fantasy?

Consumer VR still needs time to grow, but AR is already here 

The scale of user buy-in that would be necessary to fuel a full-fledged “metaverse” is far beyond the current adoption rate. According to Statista, the worldwide cumulative installed base for VR headsets in 2021 is expected to have reached just 16.44 million units. They project that that number won’t double until the end of 2024. That doesn’t exactly paint a picture of widespread public validation of the technology any time soon.

However, it’s worth noting that the “metaverse” efforts being made in the short term don’t necessarily require full immersion on the part of the user via a headset. The AR part of this equation will likely serve as the initial foundation which will lead to broader VR adoption. That’s certainly the outlook in the case of Microsoft’s new 3D avatars. Companies looking to get ahead of the curve and engage customers with AR experiences, which require only a screen and a camera, may find that avenue more immediately beneficial than investing in VR development.

B2B software buyers certainly seem interested in developing their own AR offerings, given that AR SDKs received the highest traffic by far of any of G2’s AR category pages in the last year.

Compare that to traffic in the VR space, and it’s a different story.


VR game development and VR collaboration are still the most visited VR software categories on G2. The interest in game development isn’t too surprising, considering 73% of high-end VR device users think VR’s highest potential is in the gaming space. Most VR users today associate these devices strongly with gaming, and devices such as the PlayStation VR are positioned exclusively as a way to play video games.

Business users are also clearly interested in the team collaboration potential VR might unlock—which does fit Meta’s narrative that we all may soon find ourselves having VR team meetings using cartoonish avatars to represent us. For now, at least, VR for non-gaming purposes seems to be gaining traction as an internal business tool rather than a consumer-facing enticement.

Looking forward

The full realization of the metaverse (seriously, can someone make sure that name doesn’t stick?) may be years away, but in some ways, it’s already upon us. Companies are clearly establishing footholds in the AR/VR space as consumer interest grows. Based on G2 data, AR seems to be the current hotbed for businesses looking to engage customers with their brand in innovative ways. Given that many consumers have access to a smartphone, it makes sense that non-gaming AR software development is currently a more popular space than non-gaming VR software development. 

As time goes on and more consumers buy into the promise of both AR and VR, companies should prepare themselves for new product development strategies to stay competitive with their digital offerings.

Edited by Sinchana Mistry