A few years ago, countries worldwide saw blockchain technology as a threat to their power and control, Dubai metaverse strategy is one of them. As a result, they banned the use of cryptocurrencies, NFTs, and anything related to blockchain within their territories.
But now, many of these countries are loosening their bans and restrictions. With the explosive growth of blockchain and its several use cases, governments around the globe are seeing it as a necessary technology. From this came countries identified as crypto-friendly countries, one of which is the middle eastern country of the United Arabs Emirates.
Dubai, a top tourist destination, is one of the most crypto-friendly locations in the world. The city hopes to increase talent and invest in metaverse. Due to stifling regulations, many crypto companies in 2022 moved to Dubai to set up their headquarters. Now, Dubai is a hotspot for blockchain technology, with adoption in many parts of its economy. With the rapid growth of the metaverse, the city is looking into it and has devised a strategy to adopt it. In this article, we explain to you what the strategy is as it concerns the metaverse.
What is Dubai Metaverse Strategy?
The metaverse is referred to as the next iteration of the internet. It is the technology that would connect the physical and virtual worlds. In many ways, it will change how we communicate, interact and transact trade and business. It is no surprise that top countries, companies, and brands are exploring opportunities in the metaverse.
The Dubai Metaverse Strategy is a roadmap that hopes to turn Dubai into a world’s top 10 metaverse economies. Asides from its beautiful tourist locations, the city has benefited immensely from technology in its rise to the top. With the metaverse still in its infancy, the strategy aims to make Dubai a global hub for the metaverse.
According to the initiative’s website, Dubai has attracted 1,000 blockchain and metaverse-focused companies. The country plans to build on this achievement by creating 40,000 virtual jobs by 2030.
The Dubai Metaverse Assembly
The Dubai Metaverse Assembly is a core part of Dubai Metaverse Strategy. It is a global event that brings experts from all over the world to collaborate on the future of the metaverse and explore promising and potential applications. The assembly held its first conference last year and is set to make a return this year on 11 and 12 October.
Hosted at the Museum of the Future and Emirates Towers, Dubai Metaverse Assembly aims to position Dubai as one of the best cities in the world. It also allows revolutionary technologies to be tested and applied to vital sectors of the Dubai economy. The assembly hosts over 300 global experts, policymakers, thought leaders, and decision-makers from over 40 organizations.
Delegates will participate in sessions and workshops to explore the metaverse in-depth, comprehend its effects on people, talk about the potential to humanize its applications, and figure out the best ways to take advantage of opportunities across key industries for nations, governments, and businesses. The core goals of the assembly are to educate, inspire, and collaborate.
What is the benefit of Dubai metaverse strategy?
Foster Innovation
One of the primary reasons for the metaverse strategy is accelerating metaverse innovation in Dubai. With the strategies, metaverse-focused companies will rest assured that there is governmental backing for their activities. In return, the city realizes significant economic contributions from the metaverse.
Foster Talent and Investments
The city hopes to increase talent and investments in the metaverse. That includes supporting developers, content creators, and individuals interested in the metaverse.
Develop Web3 Technologies and applications.
Through the strategy, the city plans to develop technologies and applications that incorporate the metaverse in vital sectors, including tourism, education, retail, remote work, healthcare, and the legal industry. Likewise, it plans to develop regulatory models that ensure these platforms are safe and secure for users.
How can Dubai Metaverse Strategy boost it’s economy?
Analysts estimate that the metaverse will contribute nearly $5 trillion to the global economy by 2030. NFTs, a significant part of the metaverse, is expected to grow in market share, with an estimated $80 billion by 2030. By the end of 2025, it is predicted that tech enthusiasts and younger generations will spend close to 75 billion USD on video games. Roblox, one of the largest global Metaverse communities, had 55 million daily active users in January 2022 compared to 45.5 million in 2017.
Asides from its tall skyscrapers, Dubai is a hub spot for technology. The city has blended architecturally pleasing sites with cool technological innovations. With a population of over 2 million people and a thriving economy, Dubai is well-positioned to be a key player in the metaverse. Dubai’s metaverse market is growing, both in terms of consumer and corporate needs. VR and AR are two of the key enablers of the metaverse industry in Dubai. Together, the two have created 6,700 jobs and generated $500 million for the UAE economy. Without a doubt, the metaverse offers a lot of economic opportunities for Dubai.
Major Dubai-based enterprises are beginning to use blockchain-based and metaverse technologies in their operations. Several notable companies fall into this category, including the airline Emirates, the business giant Damac Group, the clothing label Roberto Cavalli, and the UAE’s Thumbay Group, which plans to launch a “Metaverse hospital” this fall where patients can electronically consult physicians.
What sectors of the Dubai Economy will benefit from the Strategy?
Metaverse adoption in Dubai has accelerated in the past two years. Many use cases and widespread applications are taking effect. The Dubai Metaverse strategy focuses on four key sectors of the Dubai economy. They are:
Tourism and Dubai metaverse strategy
Undoubtedly, the tourism sector contributes massively to the Dubai economy. It is one of the reasons why Dubai is deemed a top tourism destination. But with global interest changes and a need to appeal to a broader audience, it makes sense that tourism is prioritized. The metaverse has seen applications within the metaverse. Thus, integrating the metaverse into the Dubai tourism industry will draw more attention to the city. To that end, the city plans to launch a tourism task force for the metaverse. The task force will enhance the tourism industry while integrating the metaverse.
Education, vital metaverse strategy
One of the most popular metaverse applications is creating immersive learning experiences for students. The metaverse redefines how we understand virtual learning environments and how to use them. Thus, education is a vital strategy focus, which goes beyond changing learning environments to teaching and researching on the metaverse.
Government Services
Integrating the metaverse into government services will enhance virtual governmental services. We have seen previous implementations in other countries, with some having virtual embassies in the metaverse.
Retail & Real estate
The retail & real estate industry is one of the biggest in Dubai. The city is home to the tallest building in the world and the tallest hotel. The infrastructural landscape also explains why Dubai is favored amongst tourists. Dubai plans to introduce a digital twin city in the metaverse. The digital twin will simulate actions and changes happening in the real world. That can change the real estate and retail experience in the city. There is little surprise then that Dubai Metaverse strategy’s retail and real estate are key focuses.
What are the Dubai Metaverse strategy’s Key Pillars?
In properly adopting the metaverse, Dubai has identified five key support pillars on which the strategy rests. They are:
Extended Reality (ER)
Extend Reality is a blend of the physical and the virtual world. It is an umbrella term for real-and-virtual connected environments. It also covers human-machine interactions generated through wearables and computer technology. Extended reality simulates the real world through human and computer-generated graphics interaction.
Augmented reality (AR) of Dubai Metaverse strategy
Augmented Reality overlays the real world with the virtual. It adds interactiveness to the real world by adding digital elements to a real-world environment. Users can experience augmented reality through phones, tablets, or headsets, which makes it a cheaper option for several users. There is no complete immersion in the virtual world; digital objects or items are displayed together with physical objects.
Virtual reality (VR), experience the virtual world
Virtual Reality is a fully immersive experience in a virtual environment. Using advanced technology and wearables, users enter into virtual worlds where they can interact with the virtual world. The gaming industry pioneered virtual reality technology to provide a more computer-simulated experience for gamers. The technology has since found its way into different sectors, such as the metaverse. With VR, everything is digitized and can be manipulated, enabling people to interact as if they were right there.
Mixed Reality (MR), blend worlds!
Mixed Reality combines AR and VR to blend the physical and virtual worlds. Users can interact with the virtual and physical worlds simultaneously. It relies on advanced technology, graphics, and input systems to produce new digital environments and visualizations. Using AR, digital objects are overlayed over the physical world. Through VR, users can interact and manipulate these digital objects in the physical environment.
Digital Twins, important Dubai metaverse strategy
Digital Twins is the virtual representation of an object, system, or asset. That also includes modeling the behavior, real-time analytics, and changes to the object, system, or asset. Digital Twins combines ER, AR, VR, and MR to simulate the real-world counterpart. For instance, the digital twin of a house could be created virtually. The digital twin of the house replicates any changes or modifications done to the real-world house.
How are digital assets regulated in Dubai?
Since the Terra-Luna crash last year, countries have fastened their regulatory watch on digital assets used within their country. Authorities are more stringent with rules, which has forced some companies to relocate their headquarters. Due to stiff regulations experienced in other countries, Dubai became an ideal location for entities due to its crypto-friendly nature. But that’s not to say the city is without its laws.
Even though the City wants to benefit from the digital assets’ ever-expanding economy, it still prioritizes protecting its citizens. Rather than stifle companies, the city aims to use regulations to support the creation and adoption of new technologies and services. Last March, Dubai established the Virtual Assets Regulatory Authority (VARA). It was the first of its kind created to deal with digital assets.
VARA requires companies offering digital assets to collect licenses to operate within Dubai. Since its establishment, major crypto companies like Binance FTX (before its crash) were granted licenses to operate. Similarly, Bybit and Crypto.com announced that they would set up shop in Dubai, following increased regulations in other locations.
Is the metaverse the next big thing?
Since the start of 2023, the metaverse has taken center stage in crypto discussions. From international corporation launches to acquisitions and growth, many eyes are exploring opportunities within. But the question remains; are the virtual worlds referred to as the next stage of the internet the next big thing? Well, that depends on who you ask.
To Meta Platforms founder Mark Zuckerberg, the metaverse is all there is to focus on at the moment. Mark even found enough motivation to change his company’s name from Facebook to Meta Platforms. Despite the financial woes the company has suffered, it is still planning big on the metaverse. Not to be left behind, Apple joined the race this year, announcing plans for a possible metaverse launch.
Contrary to the internet we use today, and the metaverse is anti-centralization. The idea behind the underlying technology – blockchain – is against that. Like the internet, the metaverse is an open platform, and nobody owns it. But despite that, it is a clear race of who gets ahead first and gets to the gold the fastest. Due to the Dubai Metaverse strategy, it is clear the motivation is not only to be in the metaverse; it includes amassing as much as possible before the others come along.
With a steady stride towards 3-D spaces and virtual worlds, the metaverse will be a game changer in years to come. It would revolutionize how we view things, interact and operate businesses. In many ways, it would change how we interact with the real world but never replace it. They will co-exist together while the metaverse changes how we humans function. Nonetheless, the technology is years away, so it might take a while to get there.
FAQs
What is the Dubai Metaverse Strategy?
The Dubai Metaverse Strategy is a roadmap for the city to become a top location for Metaverse technologies and innovations.
Will it help Dubai’s economy?
The strategy will help Dubai make more money through metaverse adoption. It will also help the city’s tourism industry by drawing more people to Dubai.
Does the metaverse belong to Dubai?
No one owns the metaverse. It exists on its own. But individuals can create their own metaverse, such as Zuckerberg’s Horizon Worlds
IMPORTANT DISCLAIMER: All content provided on this website, any hyperlinked sites, social media accounts and other platforms is for general information only and has been procured from third party sources. We make no warranties of any kind regarding this content. None of the content should be interpreted as financial, legal, or other advice meant to be relied on for any purpose. Any use or reliance on this content is done at your own risk and discretion. It is your responsibility to conduct research, review, analyze, and verify the content before relying on it.
