Build: MidJourney / Mixed
Concerns about a slowing economy are leading to underinvestment, especially in the tech sector. This is especially evident in metaverse job applications.
The Corona pandemic, the fight against Russian aggression in Ukraine and overly stimulating monetary policy by the US Federal Reserve have hit the global economy. The potential slowdown, as well as the interest rate break that is now to follow, is having a particularly strong impact in investment-heavy and riskier sectors – such as Metaverse Bet.
The Metaverse Boom Was Badly Timed
When Meta boss Mark Zuckerberg rejoined his company in Metaverse in June 2021, he nearly took over the top of global financial markets in November 2021. Since December 2021, things have gone downhill mainly due to supply crunch, Ukraine war and high inflation. ,
Technology companies, and Meta in particular, are particularly badly affected: low user growth, an online advertising market weakening in a recession as well as investing billions in Metaverse betting have affected Meta’s share price. Meta has lost about 50 percent of its enterprise value since the beginning of the year.
The result: Even the highly profitable Metaverse pioneer has to watch out for costs, the Metaverse division Reality Labs announced lower rents and cuts.
81 percent fewer metaverse jobs since April
A study by New York-based employment analysts Revalio Labs now suggests that jobs in the metaverse are particularly hard hit by current economic conditions.
According to the research, following the Metaverse revelation of Meta, Metaverse job searches exploded in July 2021 and especially since January 2022, then in just two months between April and June 2022. more than 80 percent collapse, The analytics firm searched all industries for job descriptions with “metaverse” in the title.
Jin Yan, an economist at Revalio Labs, believes that “short-term hype on the demand side” is possible, triggered by Mark Zuckerberg’s big VR and AR offensive. Companies from all sectors could try to gain knowledge from experts as quickly as possible.
VR and AR . Unlike Metaverse
Of course, the research methodology used by Ravelio Labs has a catch and therefore should not be construed as an overall statement about metaverse development: Apple, Amazon, Google and Microsoft do not use the term metaverse or use the term meta and metaverse. Don’t use it as low inflation as compared to others. companies. As a result, it does not appear in job advertisements.
Other big tech companies are instead looking for experts in basic technologies for virtual, augmented or mixed reality and artificial intelligence, that is, the metaverse. Despite the slowdown, the number of applications for the Metaverse job at the end of June 2022 still exceeded the number of applications from January 2022 and the previous year.
The Revlio Labs study at least suggests that the term “metaverse” on the job market has lost its importance after a huge hype over the past two months and companies are currently cutting back on high-risk investment projects. .
Whether the mood changes again depends on economic growth over the next few months and possibly also on whether Metas Cambria is confident and Apple really starts with its headsets.