Metaverse To Contribute $4B To Dubai’s Economy

Metaverse-to-contribute-$4-billion-to-Dubai’s-economy (1)

The Dubai Metaverse Strategy aims to increase the contribution of the metaverse sector to the emirate’s economy to $4 billion by 2030

The Dubai Metaverse Strategy, which was announced by the Dubai Ruler Sheikh Mohammed bin Rashid Al Maktoum earlier this month, aims to increase the contribution of the metaverse sector to the emirate’s economy to $4 billion by 2030.

Headed by the Dubai Crown Prince Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, the Dubai Metaverse Strategy also intends to ensure that the metaverse increases its contribution to 1 per cent of the emirate’s GDP.

The metaverse is a three-dimensional, hyper-realistic, virtual-reality space where users interact with other users in computer-generated environments such as shops, learning environments, and meeting rooms, among others. It combines social media, augmented reality, virtual reality, video games, and other advanced technologies.

Dubai Crown Prince Sheikh Hamdan bin Mohammed and Sheikh Maktoum bin Mohammed, the Deputy Ruler of Dubai, have now directed the formation of a task force to track the latest developments in the digital economy, including technology and metaverse trends.

Sheikh Hamdan said: “The directives of Sheikh Mohammed bin Rashid to form a higher committee to supervise Dubai’s future technological developments reflect the importance of facing the future with an open mind.

“The move will help us fully understand reality and explore unique ideas that will shape a brighter future for Dubai and the UAE, maximising future business opportunities.”

Higher committee to develop Dubai’s metaverse strategy

Sheikh Hamdan confirmed that the higher committee has started work on key pillars and the objectives of the Dubai Metaverse Strategy.

During the meeting with Sheikh Hamdan and Sheikh Maktoum, Omar bin Sultan Al Olama, who is the UAE Minister of State for Artificial Intelligence, Digital Economy, and Teleworking Applications and chairman of the Dubai Chamber of Digital Economy, outlined how Dubai stands to benefit from the metaverse in a way that enables it to generate business opportunities beyond its physical borders.

The committee aims to implement metaverse technologies that can help improve the performance of resident surgeons by 230 per cent and increase the productivity of engineers by 30 per cent, in addition to supporting 42,000 jobs to become virtual.

Dubai plans to become a key player in the virtual world and is developing a regulatory and legislative framework for the sector.

It is also launching projects and initiatives that will further raise its stature in the virtual world.

The committee is currently working on identifying opportunities and challenges and continuing the development of the legislative framework that covers future requirements of all sectors.

In addition, the committee is working on qualifying human capital to be able to excel in the virtual world.

Current estimates expect business revenues from the metaverse could grow from $180 billion to $400 billion by 2025.

Dubai’s regulatory authorities in the metaverse

Earlier this month, Dubai’s Virtual Assets Regulatory Authority (VARA) said it had entered the metaverse with the establishment of its Metaverse HQ, making it the first regulator to have a presence in the emerging digital space.

Expanding VARA’s resources to a borderless audience is part of Dubai’s strategy to create a prototype decentralised regulator model.

It also aims to make it accessible to government and industry leaders, other authorities and virtual asset service providers to help shape the future digital economy.

VARA’s MetaHQ will utilise The Sandbox platform, an Ethereum blockchain-based application that allows users to create, sell and purchase digital assets.