As the issue of Metaverse rapidly heated up in 2021, it has further driven the marketto create more applications and related content for virtual reality. Based on estimates by TrendForce, the application content market for virtual reality should have reached US$2.16 billion in 2021 and US$8.31 billion by 2025, with a compound annual growth rate of 40%.

  The term "Metaverse" is derived from the famous American novelist, Neal Stephenson, who mentioned it in his sci-fi novel "Snow Crash" (Avalanche) released in 1992, in which the world view describes people turning into virtual avatars and living within online virtual worlds to socialize, trade and engage in other activities. With the increasing maturity of various innovative technologies, the development of such a concept is expected to construe a digital as well as parallel universe through AR, VR, high-performance computing, and the internet. Furthermore, Liu De-yin, Chairman of TSMC, predicts that Metaverse will replace the smartphone we have today in the future.

  Based on a survey by TrendForce, the most important application content continues to be in the areas of game entertainment, film and television, and social interaction. The construction of virtual worlds and the development of application content cannot be furnished independently by only a few manufacturers. This explains why greater focus will be placed on user-generated content (UGC), and the threshold of the user’s creation will be lowered to increase their participation, thereby promoting the application content for virtual reality market.

  Aside from the provision of platforms and content, the development of Metaverse would also have to rely on hardware and other equipment and environmental infrastructure. As such, wearable devices such as AR/VR are currently the only interface to access Metaverse. To enhance the user’s sense of substitution and interaction in the virtual world, how technical aspects such as Immersive and Low Friction can be solved will become be a key factor in affecting its development. Among them, the combination of high-performance computing chips and various sensors can be adopted to create real-time and realistic virtual interactions. On the other hand, thin, high-quality images, high-brightness mini LEDs or micro LEDs and other new-generation display technologies will have their share of the spotlight in the terminal market to solve the issue of discomfort of long-term use of wearable devices as well as improve the immersion effect. Through the integration of 5G, Wi-Fi 6, and low-orbit satellites, a full-coverage communication environment can be created, further dealing with the signal interference and delays, helping to construe the development basis for Metaverse.