Tencent is entering Metaverse

Tencent is prepared to take the next significant step and enter the expanding market for metaverse products and services. Tencent is in the process of establishing its own metaverse-focused business, which will be known as the extended reality unit. The phrase “extended reality” can refer to a number of different immersive technologies, such as augmented reality and virtual reality. This unit will be responsible for all tasks pertaining to the metaverse, including the development of software and hardware.

The corporation intends to bring on more than 300 new employees in order to fulfill the requirements of the unit. Given that Tencent was just recently in the news for taking significant cost-cutting measures, some people have been caught off guard by the statement. However, according to the company, the plans for hiring new employees for the division are still subject to change. This is because the company is still in the beginning stages of putting its business plan into action, and the number of employees may go up or down depending on how well the business does.

According to various reports, the group was first established earlier this year; however, the corporation did not disclose this fact to anyone. It is anticipated that Li Shen, who now serves as Chief Technology Officer for Global, will take the helm of the business. Tencent’s entertainment division will be responsible for its operation.

More on the Subject of Tencent

Tencent is a Chinese multinational corporation that dominates the entertainment and technology industries around the world. It is prepared to go even bigger with the launch of this new unit, and it is ready to compete against other firms such as Microsoft and Meta which are already producing XI and AR devices.

Tencent, which is best known for its production of video games, is currently the most successful corporation in the gaming industry. Smartphones, social networks, electronic commerce, music, mobile games, web portals, internet services, payment systems, and online games are some of the products and services that it offers.

The company has been in operation for more than twenty years and maintains very healthy financial reserves.

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Where Exactly Is the Metaverse Going?

It is estimated that Mark Zuckerberg of Facebook is responsible for the widespread adoption of the Metaverse, which currently has a value of forty billion dollars. With a CAGR of over 50 percent, it is anticipated that it would reach the milestone of USD 1,607 billion by the year 2030.

There is a steady influx of new competitors, both with unfamiliar names and well-known brands. Facebook, which has since changed its name to META, is already hard at work on developing a future based on the idea of a metaverse. It has been stated that even Disney is working on initiatives connected to the metaverse, and other Chinese businesses such as TikTok are not far behind them either.

Apple, the world’s largest technology company, has also decided to hop on the XR bandwagon and is employing XR technologies to construct gear, including headset units. Companies who are first to join a market will have a competitive advantage known as the early entrant advantage. However, spending significant sums on research and development in this field is essential, and as a result, a number of these businesses are operating at a loss. In point of fact, Meta has only just lately admitted this fact, but the company maintains its conviction that the metaverse is the future, and that making this investment would ultimately provide very favorable returns.