The Future of Entertainment in the Metaverse
There is no denying that the fast growth of technology has had a tremendous impact on the multibillion-dollar music and entertainment industry. The entertainment industry is constantly seeking new ways to reach their audiences, and the Metaverse is arguably the next chapter in the growth of the entertainment industry by integrating an entirely new virtual world for their audience. Simply put, the Metaverse is a new version of the internet that will allow us to communicate with friends and coworkers from across the world in a virtual environment.
The Metaverse provides artists with various ways to engage with their fans through activities such as VR concerts, digital merchandising, and integrated in-world experiences. These activities are proven to be significantly more exciting and a feasible alternative to real-world events for the entertainment sector.
What does the Metaverse really mean for the music and entertainment industry?
The Metaverse is evolving into a second world for everyone by preserving the sensations of the physical world while incorporating new components that we haven’t even imagined yet, which will drive the music and entertainment industries to greater heights. In the web 2 world, various centralized entities can govern our experiences. However, one of the most crucial components of the Metaverse is community ownership.
In other words, in a Metaverse, no single entity will be able to dictate what we can and cannot do with the media, tokens, and virtual environments. This means that the community, artists, and content creators will be in charge of the services rather than a single body. Royalties will be a disruptive force in the music industry, where only a few musicians can earn a full-time livelihood. They will allow more performers to earn a sustainable living from their music.
How are labels and artists finding opportunities in the Metaverse?
The entertainment business can build experiences inside the Metaverse fuelled by creativity and imagination, which are impossible in the actual world. Labels and artists are rushing to build their own virtual identity before the sector gets saturated, and some are a better fit than others. They’re betting on it not just for attraction but also for promotional and business reasons.
The entertainment industry has had quite a year in the Metaverse, from virtual concerts to digital merchandise.
- Fortnite organized a concert with Travis Scott within its game in 2020, when the epidemic was blazing, and the craving for entertainment and engagement was at an all-time high. The concert was seen by 12 million people watching within the game itself. This collaboration raised the standard and inspired other platforms to consider how profitable blending gaming and music might be.
- In November of last year, Roblox hosted Lil Nas X for a musical concert. The virtual concert received 33 million views. This demonstrated how unrivaled the opportunities for the entertainment industry in the virtual world are.
- Artists including Eminem, Mick Jagger, Steve Aoki, and Snoop Dogg have released NFTs in the last few months. Snoop’s VIP party ticket promises access to Snoop Dogg’s lifestyle and joining Snoop’s secret Metaverse (known as Snoopverse) parties, along with getting access to exclusive NFTs and enjoying valuable experiences.
- Metaverse platform Decentraland hosted over 80 musicians and DJs that performed during the Metaverse Festival. Autograf, Deadmau5, and Benji Patterson were among the favorites, and the entire lineup had something for everyone. Everything you’d expect from a music festival was there, including a VIP area for Metakey holders, food carts, and a merch zone where visitors could purchase digital wearables.
- Renowned names like Sony and Universal aren’t far behind. Universal Group teamed with BAYC to develop an NFT band called Kingship, distributed under Universal’s Metaverse label.
- Sony Music also collaborated with Roblox to provide musical experiences for the Roblox community and provide opportunities for music artists to attract new audiences and generate revenue.
Three ways in which the Metaverse can disrupt the music and entertainment industry
1. Virtual concerts will replace live shows.
As tours have taken a severe hit due to the covid pandemic, artists and musicians deserve every opportunity they can get. Our avatars in the Metaverse are free of physical limitations. A musician can instantly change outfits in a virtual concert or convert the venue from a space-based realm to an underwater one. Virtual concerts held inside the Metaverse are the next chapter in the evolution of the entertainment industry.
Virtual performances can be just as enjoyable and satisfying as those held in real life. Although each audience member is watching the concert alone, they are all communicating in the concert’s shared virtual area or through live conversations during the performance.
2. Royalties and fan tokens for artists
The Metaverse’s economy will most likely consist of artists and creators selling digital items in the form of NFTs to their fans and their fans trading NFTs amongst themselves, with artists earning royalties from these secondary sales. Because of the lack of blockchain technology and NFT, this was not possible in the web 2 environment.
One of the most intriguing qualities of having music tokens is the network around them. Blockchain technology and NFT enable artists and their fandom to create fan tokens. Artists can design a membership token that provides unique access to exclusive communities or a series of NFTs that their fans can use to distinguish themselves on social networks. Thanks to blockchain technology, the legitimacy of these tokens is easily verifiable.
3. NFTs and collectibles
NFTs, or Non Fungible Tokens, are digitally verified data stored on the blockchain. NFTs’ popularity and worth have skyrocketed, and NFT’s acceptability in the entertainment industry is growing with each day. Artists can utilize NFTs to tokenize memorable events, sell concert tickets, or create virtual merchandise for their audience to own. For fans, the goods we acquire in the Metaverse reflect the stories of who we are: the bands we like, the concerts we’ve seen, and, most significantly, the relationships we form with others.
There is a vast archive of notable performances that musicians could be compensated for. Personally, we cannot wait to acquire metaverse drops from every one of our favorite artists. We, as fans, can show appreciation for the incredible art they are creating and releasing into the world.
The Metaverse marks the dawn of a new era for the music and entertainment industry.
Streaming platforms and apps revolutionized the way artists produce and distribute their content. The Metaverse will undoubtedly change the entertainment industry once again. Not only will Metaverse allow musicians to reach new audiences, but it would also provide them with a new route to monetize and earn. Sony and Universal are already taking steps to ensure that they will be at the forefront of this next revolution when it comes around.
We envision a future in which metaverse drops and shows are a vital element for every artist and a significant source of income. One of our favorite bits of the Metaverse is that we, the entertainment community, get to choose how much the content piece is worth. Overall, the Metaverse represents a game-changing possibility for artists interested in creative partnerships.
You now understand what the Metaverse is and the potential to transform the music industry. We agree that, like any significant shift, it can be terrifying at first. However, we can’t help but be fascinated by how this could all play out. We’ve only scratched the surface of the new business models emerging for the entertainment industry.
That’s all for now, guys! We hope you enjoyed this detailed and in-depth look at the Metaverse and what it might mean for the entertainment industry. We’ll see you next time😊
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