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Home/Blog/Market/Just As VR, Nfts, And The Metaverse Failed To Dominate Video Games, AI Is Unlikely To Do So Either

Just As VR, Nfts, And The Metaverse Failed To Dominate Video Games, AI Is Unlikely To Do So Either

Just As VR, Nfts, And The Metaverse Failed To Dominate Video Games, AI Is Unlikely To Do So Either

It is not uncommon for new technology to arise, attract significant investment, and threaten to upend the whole video game business. 2023 is all about artificial intelligence (AI), a term that has its origins in projects like ChatGPT and Midjourney. This technology has now expanded to the point that many companies claim to utilize AI in some way, even if they don’t.

However, not everyone is convinced by the present AI hype; we’ve seen this happen before and know what to expect. While we recognize that AI is capable of remarkable feats, we are also skeptical. This is the same hype that has been given to various technologies that have failed to deliver on their promises. We’ll walk you through some of these failed technologies and why we believe that AI will not dominate the video gaming industry

Does VR Still Exist?

While there is an existing market for VR, it pales in comparison to the broader gaming industry. Initially, there were claims that VR would be the future of gaming following the release of the Oculus Rift in 2016. However, the market has failed to reach its projected potential of scaling to hundreds of billions of dollars. It also failed to become the primary mode of gaming within 5 to 10 years, as was initially predicted.

As we approach the end of that predicted timeline, there are discussions about whether Meta will abandon its VR ambitions. True, VR still has a significant number of enthusiasts, with tens of millions of headsets sold, but it didn’t live up to its lofty hype. So, while we won’t necessarily say that it failed, the technology is unlikely to achieve its projected potential anytime in the near future.

The question is, why was it not as successful as imagined? One of the reasons is the lack of resources. Just like 3D movies, VR content can be profitable, but many individuals won’t spend extra money on an experience that may cause discomfort. As such, companies typically allocate resources to more scalable media forms with a wider reach. Hence, they set a smaller budget for VR experiences, and the end result is often a low-quality product.

There’s also a lack of connection. Imagine being in a movie theater on the opening night of the next big blockbuster, surrounded by strangers. Despite not knowing each other, the shared experience brings you together. With VR, this experience can be replicated, but any slight disturbance can snap you back to reality and remind you that you’re alone.

What About NFTs and Web3 Games?

Crypto enthusiasts and venture capitalists once believed that NFTs could generate significant gaming industry revenue. They claimed that unique digital objects sold in-game could be an excellent form of microtransaction. Companies like Ubisoft, Square Enix, EA Zynga, and Niantic considered implementing NFTs into their games. These non-fungible tokens were set to replace loot boxes, character skins, and even characters themselves. 

Studios eager to cash in on the cryptocurrency craze were disappointed to find that players were mostly opposed to it. Most NFT integration strategies failed miserably. Furthermore, NFT disputes in the game industry were so prominent that they spawned a storyline on the Apple TV show Mythic Quest.

Ubisoft digits

Regardless, the industry experimented with this concept with Ubisoft’s Ghost Recon NFTs but was unsuccessful. Plus, there was no trust in the genuity of many NFT projects. Scams, pump-and-dump schemes, and a specific sort of crypto racket called a rug pull abound in the NFT market. In a rug pull, an NFT project is advertised, investors buy in, and the creators disappear with the funds. 

Also, some people think that certain NFT artists secretly bid on their own work in order to either launder money or drive up the price. Not to mention the need for some serious processing power to produce these tokens, which affects the environment.

Blockchain games do exist, but they are awful, with Axie Infinity’s popularity fading quickly. Bored Ape charges excessively high prices for “sewer passes.” As a result, many players have abandoned video games that are based on blockchain technology.

Is The Collapse Of The Metaverse Deeply Obvious? 

Mark Zuckerberg rebranded his trillion-dollar firm Meta in 2021, ushering in the era of the Metaverse. Zuckerberg has touted the metaverse as the internet’s bright future ever since it was first presented. His announcement was followed by a promotional video that promised a future of seamless virtual-world interaction.

These lofty claims about the metaverse raised the bar extremely high. The media went crazy over the new idea. Shortly after Zuckerberg’s announcement, The Verge published an interview with him in which the author praised the concept as an immersive vision of the internet. 

The lack of a useful definition for the metaverse didn’t stop it from becoming the dominant business model. In fact, months after the Meta announcement, it appeared that every company was offering some sort of Metaverse product. CEO Satya Nadella even said that he couldn’t overstate how much of a breakthrough the metaverse was for the globe. 

Unfortunately, the metaverse didn’t thrive. That’s partly because market projections and business ideas were based solely on the promises of a single CEO. Plus, when people had the chance to experience it, nobody showed much interest.

As time passed, the metaverse’s condition worsened due to a slowing economy and the increasing hype surrounding generative AI. Eventually, it was taken off life support when it became clear that Zuckerberg and his company had moved on to more profitable ventures.

On the bright side, these technologies have given rise to crypto advertising companies like Bitmedia. Founded in 2014, Bitmedia works with over 5,000 active crypto publishers to deliver results for clients launching crypto projects. Bitmedia marketing services are top-notch as they generate quality traffic, so you can enjoy more benefits from your projects. Therefore, if you want your upcoming work to reach the right audience, employ Bitmendia’s services.

What Is the Trick of Artificial Intelligence Anyway? What Is Its Future In Gaming?

The metaverse, Web3, and NFT were predicted to be the future of gaming. Unfortunately, they didn’t, and now we have artificial intelligence threatening to dominate the video gaming industry.

Despite being impressed with the technology, the predictive and largely intelligent nature of current AIs is overhyped. As a result, it is unlikely that concept artists or narrative teams will be replaced by AI models. 

It’s true that AI will be useful in certain aspects of game development, but it’s improbable that it will completely transform the industry. It’s also not feasible for it to redefine how players interact with video games. Thus, it is unrealistic to think that a predictive text or art generator will produce the next big game. 

Regardless of these technologies failure to meet expectations, they still play a significant role in gaming projects. There are also a large number of people enthusiastic about the metaverse and other digital developments. 

If you’re interested in projects such as NFT games, blockchain-based games, and metaverses, Bitmedia marketing agency has you covered. We will bring your product to the right audience for you to generate better revenue.