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The future of Roblox and the broader user-generated content (UGC) ecosystem is poised for significant evolution. For marketers, these dynamic ecosystems present both opportunities and challenges. Adapting to evolving trends and leveraging effective strategies will be crucial for creating an impactful presence and campaigns that resonate with digital natives.

Here are a few thoughts on what you should keep in mind for 2025:

Key Trends

1/ Brands’ Evolution on Roblox

Roblox has been steadily deepening its direct relationships with brands, positioning itself as more than just a platform—it’s becoming a creative partner. With many brands entering Roblox, differentiating through creative excellence, data-driven insights, and holistic campaign strategies will be vital. Agencies and studios that can provide strategic guidance alongside execution will remain invaluable.

2/ Cautious Brand Strategies

Brands are eager to explore Roblox but are moving cautiously forward. Standalone strategies will be carefully evaluated as brands demand measurable results and clear ROI. This cautious optimism will enable agencies to demonstrate the platform’s value while addressing perceived risks with comprehensive and quantifiable solutions.

3/ E-Commerce: Priority Without Proof

E-commerce on Roblox continues to intrigue brands, but tangible success remains elusive. This creates an opportunity for marketers to lead the way, experimenting with virtual storefronts, interactive product trials, and hybrid strategies linking digital and physical goods. Innovating in this space can position your brand as a pioneer in virtual commerce.

Additional Trends to Watch

4/ Competition from UGC Platforms

Roblox is no longer the only “game” in town. Platforms like Fortnite Creative, Zepeto, and RecRoom are rapidly gaining traction. Marketers should consider multi-platform strategies and diversify their investments across ecosystems. Staying ahead means gaining expertise on Roblox and the broader UGC landscape to ensure seamless integration and execution.

5/ Increased Demand for ROI Measurement

As brand investments in digital platforms grow, so do expectations for accountability. Metrics-driven marketing will dominate, with brands demanding tangible proof of success. Offering robust analytics, insightful reporting, and compelling case studies will be essential to building trust and securing long-term partnerships.

6/ Evolving Monetization Models

Roblox’s push into virtual commerce will lead to new monetization experiments—think revenue-sharing agreements, subscriptions, or enhanced in-game purchase options. Marketers must stay informed and agile in response to these changes, ensuring their strategies align with emerging opportunities and business goals.

7/ Retention Challenges in Branded Experiences

Player retention remains a critical challenge for branded experiences on Roblox. Many activations attract initial attention but struggle to maintain engagement over time. For marketers, the focus must shift to creating experiences that resonate long-term through compelling narratives, gamified loyalty programs, and frequent content updates.

8/ Content Moderation and Safety Concerns

Roblox’s moderation policies will continue to be scrutinized, making some brands cautious about associating with the platform. Marketers must address these concerns proactively by prioritizing safety, adhering to best practices, and communicating transparently to reassure clients and protect brand reputation.

9/ Cross-Platform Ecosystem Development

Today’s campaigns don’t exist in silos. Marketers will increasingly integrate Roblox activations into broader ecosystems, tying in YouTube campaigns, real-world events, and social media strategies. Supporting these multi-channel efforts can elevate campaigns, amplifying reach and engagement.

10/ Rise of AI-Powered Creation

AI is transforming the creative landscape. Tools that enable AI-powered content creation will lower barriers to entry, making it easier and faster to launch experiences on Roblox. Marketers can leverage these tools to streamline production while focusing on strategic value—like storytelling and audience engagement—to deliver standout campaigns.

Looking Ahead

2025 will be a pivotal year for marketers engaging with Roblox and the UGC ecosystem. To thrive, agility, innovation, and data-driven strategies will be key. Here are the priorities marketers should focus on:

1. Deliver ROI-Focused Solutions: Showcase success through frameworks and strategies that measure tangible outcomes.

2. Expand Multi-Platform Expertise: Develop knowledge and capabilities across the UGC landscape, meeting audiences where they are.

3. Enhance Player Retention: Create immersive experiences that keep audiences engaged long after launch.

4. Adopt AI Tools: Utilize AI to streamline production while focusing on high-value areas like strategy and engagement.

5. Strengthen Analytics Offerings: Present compelling data-driven insights to build trust and showcase the value of campaigns.

2025 is the year to redefine what’s possible in virtual worlds, UGC, and gaming and make a lasting impact in the evolving digital landscape. As a leader in metaverse marketing, we can help brands on their journey. Reach out!

ceo@supersocialinc.com
Follow Yon on Linkedin.

Why it matters?

The Internet is at an inflection point, and our relationship with technology is evolving faster than ever. The handheld universes we once considered simple distractions are rapidly becoming the blueprints for how we will connect, create, and collaborate in the future.

Supersocial’s original manifesto message is more essential today because the metaverse is no longer a distant concept - it’s taking shape in real time and reshaping how we live, work, and play. It’s not just a technological frontier but a cultural, economic, and social revolution. Every portal we open, every connection we make, and every pixel we place carries the weight of defining what this next era will look like.

We can either remain passive participants or become active architects. This is about more than gaming; it’s about building inclusive, empowering spaces that reflect the values we want to carry forward. As our digital lives rapidly become inseparable from our physical ones, the need to shape these spaces with intention, creativity, and purpose has never been greater.

In this new era, we aren’t just living online. We’re creating, exploring, and thriving online. Let’s make it a place worth stepping into.

[Supersocial’s original manifesto. Written in June 2020]

A New Era

This hazardous path of recent times brought an unexpected gust of wind, Pushing us faster to the place we've been sailing toward for years.

But what lies beyond that imminent horizon? Is it a new world we should expect? Or a makeover to the one we have?

Something interesting comes up, right when you look down. Down and into the looking glass— That one in your pocket, or in your child's hand. In it you will see, it's not a new world you should expect.

It's a whole bunch of them.

A collection of handheld universes. Interwoven portals of connection. They may look like just games now, But they're a footprint of the future iteration, Of this thing we call the Internet.

The sum of all virtual worlds, interconnected. Waiting to be explored. A programmed park, a pixel party, a gamefied get-together. And surely more to come.

The metaverse is drawing near. Will it hit you from left field? Or will you take your seat at the helm? We choose to shape the next era of social gaming— and make it about connection, empowerment, and creative expression.

Because there's never been a better time to build the worlds we want to see.

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From Into The Metaverse

• Are Avatars the New Identity?

• Read: 2.5 billion kids were born since YouTube's launch in 2005...And they are redefining the future of the Internet.

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Caught My Attention…

• In a recent discussion at the GamesBeat Next 2024 event, Epic Games CEO Tim Sweeney emphasized that the path to an open metaverse relies on “enlightened self-interest” from tech giants, urging them to support fairer terms for developers rather than monopolistic practices. Sweeney envisions the metaverse as a seamless digital ecosystem powered by interoperable platforms where users and brands coexist across games like Fortnite, utilizing assets from Epic's new Fab marketplace. He highlighted advances in Unreal Engine 6, which aims to support massive, shardless multiplayer environments and integrate user-generated content at unprecedented scales. Sweeney sees these steps as essential in creating a "metaverse browser" where assets, avatars, and experiences transfer across platforms. Epic's collaboration with Disney on a “Disneyverse” connected to Fortnite also exemplifies the shared economy Sweeney advocates for, with cross-platform accessibility as a defining feature. Sweeney's vision also extends to AI, which he predicts will expedite development processes, enhance game creation, and help make the metaverse a central force in gaming over the coming decade.

• Meta Platforms is developing its own web-crawling search engine to enable its Meta AI chatbot to deliver real-time answers on current events, reducing its reliance on Google Search and Microsoft’s Bing. This move aligns with Mark Zuckerberg's strategy to reduce dependency on other tech giants, a lesson reinforced by past challenges with Apple’s restrictions on ad revenue. To support real-time information retrieval, Meta has also partnered with Reuters to provide news content. Meta AI, already integrated across Facebook, Instagram, WhatsApp, and Messenger, has grown to 185 million weekly active users, catching up to popular platforms like ChatGPT. By creating a web-indexing system, Meta aims to make its chatbot self-sufficient in providing timely responses, a competitive edge as the market for conversational AI continues to expand.

• The recent White House AI memorandum emphasizes new risks from advanced AI models, including national security concerns. Still, critics argue it overlooks more immediate harms linked to existing digital platforms. While AI does introduce novel risks, many issues—like misinformation, discrimination, and mental health impacts—already exist within current social media and digital platforms, fueled by engagement-optimized algorithms. Rather than establishing entirely new regulatory bodies, updating existing frameworks, such as those governing social media and digital content, could address these overlapping issues more effectively. AI experts like Yoshua Bengio and Geoffrey Hinton stress that ongoing harms, amplified by AI, require immediate attention alongside emerging risks. This memorandum’s “new AI” approach risks underplaying the role of established tech giants, where current algorithmic practices and high user engagement remain fertile ground for societal harm. Comprehensive AI regulation should prioritize transparency and safety in both AI-driven platforms and traditional tech spaces, encouraging regulatory continuity rather than a complete overhaul.

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Other Reading…

AI

• Meta’s AI Abundance (Stratechery)

• Apple’s Low-Cost AI Strategy Wins Over Investors, Despite Risks (The Information); Also, Apple’s competition isn’t other AI companies, its smart phone makers, says Fmr. Apple executive (CNBC)

• Meta announced three new cutting-edge developments in robotics and touch perception — and a new benchmark for human-robot collaboration to enable future work in this space (Meta)

• How NotebookLM was created and where it’s going (Exponential View)

• OpenAI plans to offer its 250 million ChaptGPT users even more services (ZDNET)

• Can Startups Thrive in an Age of AI? (Harvard Business Review)

Gaming & Virtual Worlds

• I Played The Kamala Harris ‘Fortnite’ Questline And Here’s What I Found (Forbes)

• Roblox Q3 Earnings: Bookings Jump 34%, User Base Hits 89 Million, Raises Annual Outlook (Yahoo Finance)

• How EY reinvented recruitment and onboarding with AI and the metaverse (Ragan)

• Partnering with Decart: The Future of AI-Generated Experiences (Sequoia)

• AR business goes all in on gamifying pro sports events (Axios)

Industrial Metaverse

• The State of the Industrial Metaverse (Siemens)

On X & Linkedin…

Podcasts…

• The future of AI with Microsoft AI’s CEO (Masters of Scale)

• Why AI Is Underhyped with Elad Gil (Joe Lonsdale)

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From Into The Metaverse

• Listen or Watch: The Future of Virtual Worlds is in Your Hands

• Read: 2.5 billion kids were born since YouTube's launch in 2005...And they are redefining the future of the Internet

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Caught My Attention…

• Anthropic has launched two new AI models, Claude 3.5 Sonnet and Claude 3.5 Haiku, with significant advancements in performance, particularly in coding and tool use tasks. Claude 3.5 Sonnet excels in software engineering, offering high-level coding and problem-solving abilities. At the same time, Claude 3.5 Haiku matches the capabilities of larger models like Claude 3 Opus, providing affordability, speed, and improved task handling. A pioneering feature called "computer use" is also introduced in public beta, allowing Claude 3.5 Sonnet to interact with computer interfaces as a human would—navigating screens, clicking, and typing to automate complex workflows. This matters as it opens a new realm of possibilities for developers, enabling more autonomous and nuanced AI-driven interactions across various applications. Major tech companies are already testing these capabilities, and further safety measures are in place to ensure responsible use as the technology evolves. Read more commentary on Platformer.

• Apple has significantly reduced production of its Vision Pro mixed reality headset due to weak demand and high pricing, potentially suspending assembly by November. Current stock levels, estimated at 500,000 to 600,000 units, appear sufficient to meet immediate demand, while Luxshare, Apple’s assembler, has scaled back production from 2,000 to 1,000 units daily. Apple plans to shift its focus toward developing a more affordable model, which is anticipated for a 2025 release and aims to attract a broader customer base. This scaled-back production reflects Apple’s strategy to balance inventory and costs while assessing demand in a market where Meta’s lower-priced VR headsets have dominated.

• Epic Games has launched Fab, a unified digital asset marketplace offering developers a centralized platform to buy, sell, and share assets compatible with multiple game engines, including Unreal Engine and Unity. Positioned as a foundational step toward an open metaverse, Fab merges resources from prior Epic marketplaces like Unreal Engine Marketplace and Sketchfab, making assets accessible across digital creation tools and future-proof for various engines. Developers can browse assets for environments, animations, VFX, and 3D models with free access to Quixel Megascans through 2024. Epic envisions Fab evolving to support other engines and platforms like Roblox and Minecraft, aiming to enhance interoperability and streamline content sharing across digital spaces. Fab’s comprehensive asset hub reflects Epic’s commitment to fostering a vibrant creator ecosystem, reducing fragmentation, and potentially paving the way for interconnected digital worlds in the metaverse.

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Other Reading…

AI

• The Startup Fueling OpenAI and Anthropic’s Coding Race (The Information)

• Google plans to announce its next Gemini model soon (The Verge)

• AI & Creativity: The Age of Amplified Imagination (Meta)

• Is AI Safety a Potemkin Village? (Asimov’s Addendum)

Gaming & Virtual Worlds

• FINRA says rules still apply in the metaverse (Cointelegraph)

• Netflix shuts down 'AAA' Team Blue gaming studio, amid gaming shake-up (Game File)

• Microsoft Envisions Every Screen as an Xbox. How’s That Going So Far? (WIRED)

• Why JOGO is spending millions of dollars to publish ‘AAA’ games on Fortnite Creative (Digiday)

• Data Deep Dive: What Are the Zoomers REALLY Playing? (A16Z Games)

• Report: How To Make An Impact With Younger Audiences (Anzu x SuperAwesome)

• NetVRk launches its AI-powered metaverse with Unreal Engine 5 graphics (VentureBeat)

• How Gamefam’s Founder Taps His ‘Inner Child’ to Bring Brands to the Metaverse (Inc.)

Web3

• Demystifying the Crypto x AI Stack (Coinbase)

• Improbable Tech Unveils Somnia Crypto: A New Era for Blockchain in the Metaverse (Coin Trust)

• Aggregation Is the Only Way to Unify Web3 (Coindesk)

On X & Linkedin…

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If you only have 2 minutes, read these takeaways:

• Digital Natives Shaping the Internet’s Future: The “YouTube generation” isn’t just consuming online content but actively shaping the technologies they interact with, influencing the Internet’s evolution. As digital natives, they experience the web as an extension of their social and economic lives, meaning that their engagement with platforms today will shape future digital landscapes.

• Rise of the Creator Economy and Mobile-First Engagement: A significant shift toward user-generated content and mobile-first experiences has emerged, especially in regions like Africa and Southeast Asia, where mobile phones are primary internet access points. Platforms like YouTube and TikTok empower young users to create, share, and engage with content, fueling the growth of a creator economy and driving new economic opportunities across digital markets globally.

• Transforming Education Through Digital and Gamified Learning: This generation has redefined learning, relying on digital platforms for self-directed and gamified education, which challenges traditional models. Platforms like YouTube, Roblox, and Minecraft offer interactive, on-demand learning experiences, democratizing knowledge and making education more accessible, especially in underserved regions. This trend indicates a future where digital, interactive learning becomes central to young users worldwide.

Children are the R&D department of the human species (as cognitive scientist Alison Gopnik states). They experiment, innovate, test boundaries, and develop new ways of interacting with their surroundings. In today’s world, their playground for experimentation has become increasingly digital. The 2.5 billion babies born since YouTube’s launch in 2005 are digital natives, growing up immersed in an online ecosystem fundamentally different from what previous generations experienced. By observing how these children use and interact with the internet, we can gain profound insights that could influence the very future of the Internet itself.

Why the YouTube Generation Matters

The "YouTube generation" is defined by its deep immersion in online video content, user-generated platforms, and a hyper-connected internet. This generation is not just passive consumers; they actively shape the technologies they engage with daily. Why does this matter? Because the internet behaviors of this generation will dictate the technologies, platforms, and innovations that dominate tomorrow’s digital landscape. As digital natives, they view the internet not as a tool but as an extension of their social and economic lives. By understanding their engagement patterns, companies, brands, and policymakers can pinpoint growth opportunities and where current systems might need to evolve. This generation is redefining the internet by how they live, learn, and create within it.

From Passive Consumers to Active Creators

A key shift brought about by the YouTube generation is the transition from passive media consumption to active creation and interaction. Platforms like YouTube, TikTok, and Roblox empower young users to not only consume content but also create and share it. This shift has birthed the "creator economy," transforming how media, entertainment, and commerce operate.

Research highlights that younger users now spend more time engaging with user-generated content (UGC) and interactive platforms than with traditional media. 70% of U.S. consumers report following at least one online creator, with much of their content consumption focused on UGC platforms. This has profound implications for brands and businesses. Companies that embrace this shift by working with creators—particularly younger ones—can unlock new ways to reach audiences, generate engagement, and foster brand loyalty. This creator phenomenon is not limited to Western markets. In regions like Africa and Southeast Asia, platforms that enable UGC have become integral to the growing digital economy.

The democratization of content creation tools allows young users in these regions to participate and contribute to the global digital economy in ways previously unimaginable. These platforms will dominate the next decade by catering to this increasingly active and creative user base.

The Future of Education and Learning

Beyond entertainment and social interaction, the YouTube generation is transforming how we think about education and learning. Traditional educational models are being disrupted in a world where answers to virtually any question are just a quick search or video tutorial away. Digital platforms now offer more personalized, on-demand learning experiences, far removed from the rigid structures of formal education systems. YouTube, for example, has become a go-to tool for self-directed learning. Millions of young people use the platform to learn everything from coding to cooking to physics.

This democratization of knowledge has profound implications for education. Platforms offering interactive, bite-sized learning experiences will likely disrupt traditional education models—especially in regions where access to quality education remains limited.

In parallel, platforms like Roblox and Minecraft are pioneering a form of gamified learning. These platforms, where users can create, build, and experiment, mimic the exploratory learning style children naturally adopt. The ability for young users to learn through play has positioned these platforms at the intersection of entertainment and education. This trend will continue to grow as gamified, interactive learning becomes a preferred method for young users globally.

Mobile-First and Global Opportunities

One of the most significant insights from observing how the YouTube generation interacts with the internet is the critical role of mobile-first experiences. In regions like Africa and South Asia, mobile phones are the primary—and often only—way users access the internet. The rise of mobile technology has opened up new opportunities for brands, platforms, and developers to engage young, digitally native users in these emerging markets. Africa, in particular, has seen explosive growth in mobile-driven internet adoption, with countries like Nigeria, Kenya, and South Africa leading the way.

Mobile-optimized platforms and localized content are essential for brands looking to tap into this rapidly growing demographic. Moreover, innovations in mobile fintech, social commerce, and mobile entertainment are already shaping the future of the digital economy in these regions. For example, mobile payment solutions and micro-transactions within gaming or social platforms are expanding economic participation and creating new pathways for both consumption and creation. The mobile-first trend highlights the importance of crafting digital solutions that cater to the specific needs of mobile users, particularly in areas with limited access to traditional internet infrastructure​.

Gaming: The New Frontier of Digital Interaction

Gaming has evolved from a niche pastime into one of the YouTube generation's dominant forms of entertainment and social interaction. Platforms like Roblox, Fortnite, and Minecraft are blurring the lines between gaming, socializing, and creating, offering young users virtual spaces where they can build communities and identities. The global gaming market, expected to surpass $321 billion by 2026, reflects the centrality of gaming in young people's digital lives.

Brands have already started exploring ways to engage with this space by creating virtual experiences and in-game events that attract millions of users. As the next generation spends more time in immersive, interactive environments, the future of the internet will increasingly be shaped by platforms that can harness the power of gaming to offer new forms of connection and engagement.

Ethical Considerations and Digital Rights

As children and young peole spend more of their time online, ethical considerations around data privacy, security, and the effects of digital engagement become increasingly pressing. The YouTube generation is growing up in a world where their personal data is constantly being collected, analyzed, and used by platforms for various purposes—often without their explicit consent or understanding. As these digital natives mature, they will likely be at the forefront of movements pushing for more substantial digital rights, data privacy protections, and more control over their online identities. Platforms prioritizing transparency, giving users control over their data, and promoting digital literacy will stand out as trusted players in the future Internet ecosystem. Moreover, businesses that emphasize ethical data practices will likely build greater trust with younger users, who are becoming increasingly aware of the risks posed by the digital economy​.

The Future is in Their Hands

By observing how the YouTube generation uses and experiences the Internet, we can gain invaluable insights into its future. This generation is not simply consuming content—they are creating it, shaping it, and demanding more immersive, interactive, and ethical experiences. As the first truly digital-native generation, they are at the forefront of shaping mobile-first, socially driven digital economies, transforming education, entertainment, and commerce in the process.

This generation is writing the internet’s future in real time. Brands, creators, and platforms that can adapt to their expectations and meet their needs will not only survive but thrive in the next phase of the digital age.

As Alison Gopnik suggests, children are indeed the R&D department of the human species, and the digital experiments they are a part of today will shape the world we all live in tomorrow. Brands, policymakers, and technologists who take notice of how this generation engages with the digital world will be better positioned to innovate and succeed in a rapidly changing global landscape.

Preparing for a Digital Future

The YouTube generation is clear evidence that the Internet’s role is evolving. What was once a tool for accessing information has now become an integral part of daily life for billions of young people. By analyzing how these digital natives engage with the web—from creating content to shaping their education and forming communities in virtual worlds—we can begin to understand the opportunities and challenges that lie ahead.

The internet is an active, dynamic ecosystem where young people explore and reshape the future. The challenge and opportunity for brands, creators, and platforms are clear: those who listen to and learn from this generation will define the next wave of innovation.

The Internet of the future will be more immersive, interactive, and user-driven, and the companies that are prepared to lead this shift will be those who understand that children are the ones driving this transformation, voting with clicks.

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• Listen: The metaverse will be built on the web.

• Read: Autonomous transportation will unlock a new (immersive) reality.

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Caught My Attention…

• A16Z’s The 2024 State of Crypto report highlights the significant growth in the crypto space, with all-time highs in usage and activity, major infrastructure improvements, and crypto becoming a key political issue ahead of the U.S. election. The report covers how stablecoins have found product-market fit, advancements in blockchain infrastructure, and the rise of DeFi. It also introduces a new "Builder Energy" dashboard, offering insights into where crypto developers are focusing their efforts. The report emphasizes crypto’s evolving role in global finance, technology, and even its potential impact on AI development.

• Google is undergoing significant internal changes to compete with ChatGPT and advance its AI capabilities. Demis Hassabis, head of Google’s AI research, now oversees the entire Gemini product, integrating both research and user-facing development to speed up improvements and avoid past mistakes. This reorganization aligns AI research and product development, similar to moves made at Meta. Meanwhile, Nick Fox, a long-time Google executive, has taken over leadership of Search, Ads, and other core products. His promotion reflects the growing pressure on Google to innovate in Search, as AI reshapes the landscape. Hassabis is also seen as a potential future CEO.

• Decentraland is launching a new desktop client on October 22, 2024, marking a significant update with improved performance, social interactions, and engagement features like Badges and Daily Quests. Alongside this, Decentraland is releasing White Paper 2.0, which reflects the platform's growth since its 2017 white paper. The updated document highlights Decentraland's decentralization ethos, empowering users with digital ownership and outlining a roadmap for future innovations, including enhanced social experiences, creator tools, marketplace improvements, and multi-platform expansion driven by its active community.

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Other Reading…

• This AI Pioneer Thinks AI Is Dumber Than a Cat (Wall Street Journal)

• AI’s real dollar cost. Don't let current AI spending confuse you (Exponential View)

• Stablecoins Are Eating The World (The Pomp Letter)

• The Second $100B AI Company. The Case for Consumer AI (Digital Native)

• Proximity to Power, The Horizon of Augmented Reality, & More Cycles for Creativity (Implications)

• Apple might release a $2,000 Vision headset next year (Tech Crunch)

• Epic wants its Fortnite-Disney metaverse project to be 'what every Disney fan has ever wanted,' but don't expect Mickey Mouse to pick up an assault rifle (PC Gamer)

• Roblox forges a marketer-friendly path with third-party partnerships (Marketing Dive)

• Ten Spooky and Fun Ways to Get Into the Halloween Spirit on Roblox (Roblox)

• How Roblox is Transforming Recruiting with Immersive 3D Experiences (Roblox)

On X & Linkedin…

Podcasts…

• Jensen Huang on the BG2 podcast with better than ever insights on the future of AI and its potential to revolutionize everything.

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Americans spend an average of 53 minutes commuting daily.

That’s nearly nine full days each year spent sitting in traffic or navigating crowded trains​. This figure can exceed 30 minutes per trip in dense urban areas like New York, while rural states enjoy more manageable commutes. But here’s the thing: the launch of autonomous transportation changes everything.

Tesla’s newly announced Cybercab isn’t just a car that will save people from road rage. It’s also an additional portal to the metaverse. I believe that autonomous vehicles will unlock untapped experience potential, with the opportunity to transform idle commute time into experiences that are productive, creative, and connected.

Bold statement: Cybercab isn’t just a ride but could become a different kind of gateway to the next stage of digital experience.

If you only have 2 minutes, read these 3 takeaways:

1. Commutes as Metaverse Portals: With autonomous transportation, travel time will transform into immersive experiences. Passengers will use commutes for virtual meetings, gaming, wellness, or learning, seamlessly switching between real and digital worlds.

2. Blurring Work and Play: The lines between work and leisure will vanish. Cybercabs will enable productive commutes, making workdays more fluid.

3. Decentralized Living and Working: Beyond the remote work trend of the COVID era, autonomous commutes will eliminate the need to live near work, fostering a more decentralized lifestyle, with the metaverse further integrating into a core part of everyday life.

Commutes as portals to the metaverse

Transportation has always been about efficiency, but the equation will change with autonomous vehicles like Cybercab. Commutes will no longer have to be dead time but an opportunity for immersion and transformation. What if the metaverse can thrive in transit? Instead of scrolling social media, imagine slipping into a spatial computing headset and commuting through a stunning virtual cityscape or attending meetings as a fully embodied avatar. Autonomous cars can turn every ride into a seamless transition between virtual worlds.

Ultimately, I believe we’re not going to just “ride” in a Cybercab but learn, explore, create, and connect in ways that were impossible when we were stuck behind the wheel. Whether we’re taking a class in a virtual classroom, brainstorming with our remote team, or meditating on a serene digital beach, Cybercabs will make it possible to optimize every moment of our commuting journey.

Autonomous vehicles like Cybercab will redefine time spent. Those 53 minutes a day? They’ll shift from passive downtime into active experiences that enhance our commuting life. To be clear, this isn’t just about entertainment - it’s about taking advantage of commute time to improve how we spend our time. Consider these possibilities for experiences to engage with during commute:

• Virtual Classroom: Learn new skills, from design to programming

• Co-working Space: Jump into VR with our team and brainstorm new ideas

• Wellness Retreat: Replace road anxiety with meditation in immersive landscapes

• Sleep! (Lol, I had to)

“Cybercabs” could allow people to move from fragmented experiences into a fluid lifestyle where physical and digital moments merge seamlessly. This way, time spent in transit will no longer be wasted but could become a meaningful part of our day, enhancing both productivity and well-being.

Is the cybercab as the new third place?

Sociologists talk about the “third place” - the social space outside of home and work, traditionally a coffee shop, bar, or gym (or Discord!). But Cybercabs will change this. The metaverse within a mobile pod can become the next evolution of the third place. Think about it - why limit social interaction to a physical coffee shop when we could meet our friends on a virtual island during your ride there? Cybercabs will facilitate the time and space to nurture social connections on the go, whether we’re attending a VR concert on the way to dinner or gaming with friends during a weekend ride.

Regardless of Cybercabs, physical and virtual worlds will no longer be separate for the next generation. They will be two sides of the same coin, and switching between them will feel as natural as flipping a light switch. Cybercabs will play a role in further making geography irrelevant, enabling connection and social interaction anywhere, anytime.

New ways of being

As people spend more time in the metaverse, their digital identities will begin to matter as much—or maybe even more—than their physical ones. Their avatar—how they move, look, and interact—might reflect a more authentic expression of themselves than their physical bodies ever could.

Because Cybercabs will provide privacy and autonomy, they will offer the ideal space to experiment with new versions of ourselves. Imagine leaving our home stressed, but by the time we reach our destination, we’ve emotionally recharged through experiences in virtual worlds and connecting with friends in joyful, immersive, fun ways. To be clear, this isn’t just escapism - it’s identity evolution. I believe that the distinction between physical and digital selves will blur over time. We’ll likely slip effortlessly between who we are in the real world and who we aspire to be in the digital one.

Merging work and play

Cybercabs will also collapse the traditional separation of work and leisure. How? Why wait until we’re at our desk to start our day when we can kick off meetings in transit? In the future, our workday will begin the moment we step into a Cybercab, and by the time we arrive, a portion of our work could already be accomplished. On the flip side, play will be just as integrated. Whether we explore an alternate universe or work out in a virtual dojo, Cybercabs will merge productivity and recreation into one fluid experience. The idea of “work hours” and “downtime” will fade away, replaced with a connected, integrated experience.

The death of the urban monopoly?

Traditionally, where people live has been dictated by proximity to work. But when Cybercabs turn commuting into a productive or enjoyable part of our day, living close to the office becomes irrelevant. This shift could further decentralize living, empowering people to move further away from expensive urban centers and choose places that align with their values and lifestyle. Combined with the metaverse, autonomous vehicles will blur the line between urban and rural living, creating communities that blend physical serenity with digital connectivity.

Acceleration of new business models

Autonomous transportation will unlock or accelerate new business models. Here are a few examples:

• Subscription-based metaverse experiences during commutes.

• Virtual pop-up stores selling digital and physical goods en route.

• Co-working spaces optimized for short bursts of productivity in transit.

• Immersive ads that blend seamlessly with our digital journey.

Just as the smartphone created industries we couldn’t imagine 15 years ago, Cybercabs will open the door to new forms of commerce that integrate with the metaverse.

A psychological shift: hyper-presence

The most profound transformation will be psychological. When every moment can be optimized - whether physically or digitally - our relationship with time and space will shift. With Cybercabs, we’ll always be in motion, both physically and virtually, creating a new sense of hyper-presence. With that, some people will feel liberated by this fluid, always-connected lifestyle. Others will find it overwhelming as the boundaries between personal space and public interaction dissolve. But one thing is sure: our perception of time, identity, and connection will change dramatically.

Cybercab as the launchpad for a new (immersive) reality

Tesla’s Cybercab is far more than a car. It enhances autonomous transportation and serves as a launchpad for the next evolution of digital experiences, where the metaverse becomes a natural extension of our lives. As people spend more time in immersive digital worlds during transit, the boundaries between physical and virtual realities will further blur. This revolution will reshape how we work, play, connect, and even define ourselves. Cybercabs aren’t just transportation - they are an additional gateway to a new paradigm where life happens across multiple dimensions simultaneously.

What’s exciting about this evolution is that the future of mobility isn’t just about getting from Point A to Point B. It’s about transforming our journey into an experience that matters.

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• Listen: EP.100 “Part 2 with Matthew Ball”.

• Read: The future of AR is here - and so are its regulatory challenges.

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Caught My Attention…

• Hindenburg Research published a report on Roblox, alleging inflated user metrics, child safety issues, and challenges to future growth. The report accuses Roblox of overstating daily active users and highlights safety concerns, including inadequate protections against predators and ineffective moderation. It also critiques the company’s shift towards lower-spending regions and declining conversion rates. Hindenburg questions Roblox’s move into advertising, suggesting the firm's metrics mislead investors about its audience's value. While the report touches on important issues, it is criticized for lacking contextual depth and overly accusatory. What is certain is that Roblox will continue to face mounting scrutiny as it balances safety improvements with financial goals in a competitive and regulated environment. To dive further into the topic, check these pieces:

  • Roblox accused of lying to investors about user numbers by Hindenburg Research (The Verge)

  • Roblox’s Hindenburg moment (Joost Playlist)

  • The report itself from Hindenburg

• Still on Roblox… The company partnered with WPP, one of the largest advertising agencies, as part of its expanding advertising business. WPP and its media buying arm, GroupM, have joined the Roblox Partner Program, becoming the second agency after Dentsu to participate. The partnership will focus on creating a certification program to train marketers on Roblox, forming an advisory council to develop advertising measurement standards, and hosting collaborative sprint sessions connecting marketers with Roblox developers. This partnership builds on WPP’s broader interest in immersive media, following previous initiatives with Epic Games and investments in in-game advertising networks like Anzu.

• HBO’s new documentary Money Electric: The Bitcoin Mystery, directed by Cullen Hoback, embarks on two missions: to uncover the true identity of Bitcoin’s elusive creator, Satoshi Nakamoto, and to argue why his identity matters. After years of investigation, Hoback suggests that Canadian programmer Peter Todd may be Nakamoto, presenting circumstantial evidence, such as forum exchanges and inconsistencies in Todd’s statements. Todd denies the claim, calling it a coincidence. The film also explores the significance of Nakamoto’s identity, given that he controls over a million Bitcoins worth billions, raising questions about the power such wealth confers. While the documentary stops short of conclusive proof, it rekindles curiosity about Bitcoin’s origins and the far-reaching impact of the cryptocurrency industry.

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Other Reading…

• Tesla’s Cybercab robotaxi event: the biggest news and announcements (The Verge)

• This Nobel Prize matters (Exponential View)

• Behind the product: NotebookLM (Lenny’s Newsletter)

• Where Have All the Chief Metaverse Officers Gone? (Wired)

• Zuckerberg’s metaverse is finally showing signs of life, but it’s not from VR (CNBC)

On X & Linkedin…

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If you only have 2 minutes, read these three key takeaways:

• 3D avatars are redefining identity: Avatars are becoming complex digital personas, allowing new forms of self-expression and challenging traditional views on authenticity.

• Blurring real and virtual worlds: The line between physical and digital life is fading, raising questions about trust and the potential for digital identities to mislead.

• A new digital economy emerges: Investment in virtual goods is growing, reshaping ideas of ownership and luxury while presenting ethical challenges around digital consumerism.

The internet is on the brink of a major shift. As 3D avatars move from fringe curiosity to digital norm, the web is becoming a space where reality as we know it dissolves, and our sense of self is up for grabs. People are no longer just watching content or scrolling through feeds—they embody digital identities, mingling in virtual spaces that blur the lines between the "real" and "unreal." For consumers, this means a new way to express, experience, and explore. For brands, it’s a chance to rethink everything about marketing, storytelling, and customer relationships. But what does all this mean, and where does it lead us?

3D Avatars: Welcome to Your New Digital Self

3D avatars aren’t just video game characters or Snapchat filters—they’re quickly evolving into fully realized digital personas that people use to navigate online spaces. As avatars become more customizable and lifelike, the way we present ourselves shifts from physical reality to a curated digital identity. Whether it’s a near-exact replica of your physical self, an idealized version, or something entirely fantastical, these avatars let us step into the internet in ways we’ve never done before.

According to a Roblox report, self-expression and inclusivity in digital fashion are essential for Gen Z. The vast majority of Gen Z who are active on Roblox said in a survey that they have customized their avatars, with half of them changing their avatar’s clothing at least every week.

We’re witnessing a new kind of self-expression where people can explore aspects of themselves without the physical world's limitations. Want to show up at a virtual office meeting with neon hair and wings? Go for it. Or, maybe you prefer your avatar to look like you—but taller, more muscular, and always dressed in designer wear. In digital spaces, people can be anything or anyone they want. The question is, does this newfound freedom of identity enrich our sense of self or dilute it?

Blurring the Lines: Real, Unreal, or Somewhere In-Between?

Blurring what’s real and unreal isn’t just some techie buzzphrase—it’s a fundamental cultural shift. When digital versions of ourselves can be so realistic that it’s hard to tell the difference, what does authenticity even mean? In some ways, avatars allow us to live out the lives we wish to have offline: unlimited self-expression, freedom from physical appearance biases, and boundless creativity. But it also introduces a slippery slope where digital identities might mask rather than reveal, deceive rather than connect.

Take influencers who create virtual personas to represent themselves. Some are open about it, while others blend the digital and physical to such an extent that followers might not even know what’s real anymore. Is this the next evolution of digital artistry, or just another layer of social media smoke and mirrors? For consumers, it raises questions about trust, transparency, and the blurred boundary between the people we engage with online and who they actually are.

Digital Ownership: Why Virtual “Stuff” Is More Than Just Pixels

As more people pour time and money into their avatars—buying virtual outfits, digital accessories, and even properties—the idea of ownership is evolving. We’re not just talking about buying skins in video games anymore. NFTs and blockchain tech are adding legitimacy to digital goods, making them rare and tradable. A digital jacket for your avatar in the metaverse might soon carry the same status as an iconic streetwear brand in the real world.

In the Roblox report I mentioned above, nearly 3 in 4 Gen Z say they spend on digital fashion. People are expressing themselves through their avatar style and Roblox fashion choices similarly to how they do in the physical world, with over half (53%) saying their style changes based on their mood or feelings on a particular day, and 37% changing clothing based on where they are going in the metaverse and what they are doing. Many (42%) would immediately change their clothing to try on a new purchase. Last but not least, 70% of Gen Z said their avatars dress at least somewhat like their IRL style, with equally as many (70%) saying they also get physical style inspiration from dressing their avatars.

This could completely transform the value of luxury. If the status symbols of the digital world begin to outshine those of the physical world, it flips the script on what it means to “own” something valuable. That new pair of designer sneakers? Cool. But do you have the limited-edition virtual version that only exists in the metaverse? As more of our time is spent online, this shift from physical to digital possession will reshape consumer behavior and redefine luxury as we know it.

The New Digital Playground: What’s In It for Consumers?

For the everyday user, 3D avatars open up a digital playground of self-expression. Instead of typing in a chatbox or posting selfies, people are fully “there,” inhabiting the spaces where they interact. Virtual concerts, online events, and even casual meetups are evolving into immersive experiences where avatars mix, mingle, and make the world—digital or otherwise—feel alive. Imagine going to a virtual concert where people and their friends are “there” not as usernames or profile pics but as their avatars, dressed digitally, sharing a surprisingly real experience.

But it’s not just about entertainment. Avatars let people explore new identities in ways that may not feel safe or possible in the physical world. They can be a tool for empowerment, a way to express gender fluidity, cultural experimentation, or artistic exploration. This kind of digital freedom is intoxicating, but it also carries risks. Avatars' anonymity can empower people to misbehave or manipulate, making online spaces ripe for exploitation unless platforms set up boundaries and safeguards.

What It Means for Brands: The New Rules of Engagement

The explosion of 3D avatars isn’t just a playground for users—it’s a compelling opportunity for brands willing to experiment. Think of it as the next evolution in experiential marketing, where you’re not just sending out ads but creating interactive worlds, gamified experiences, and digital goods that consumers actually want to engage with. Fashion brands are already jumping on this, with virtual outfits where users can dress their avatars across various platforms. Companies like Nike, Gucci, and Balenciaga have started to sell limited-edition virtual goods that avatars can wear, establishing themselves as pioneers in the emerging digital fashion market.

Brands that are smart about this will think beyond selling "digital products" and instead create meaningful experiences. It could be a virtual showroom where users can “try on” outfits, a branded metaverse game with digital rewards, or even an avatar-based fitness class where users’ avatars mirror their physical movements in real-time. This isn’t just about flashy tech—it’s about redefining how brands interact with their audience. The challenge lies in creating experiences that are not only captivating but also meaningful, resisting the temptation to pump out virtual products for the sake of novelty.

The Ethics of a Virtual Economy: Is It All Just Digital Excess?

There’s also a dark side to this digital playground. When every part of our digital life can be monetized—our avatars, our virtual spaces, our digital possessions—it raises the question of whether we’re just creating new forms of consumerism in spaces that used to be escapes from reality. There’s a fine line between offering valuable digital experiences and encouraging a constant need for the latest virtual goods. Brands need to be careful not to replicate the pitfalls of physical consumer culture in the digital realm, where the accumulation of digital “stuff” could become just as draining as in the real world.

The responsibility here is twofold: Platforms need to set ethical boundaries around digital commerce, and brands need to offer products and experiences that actually add value rather than drive sales. We’re entering a new phase where the digital economy has real consequences, not just for people’s bank accounts but their well-being.

The Future Is Hybrid: When Digital and Physical Worlds Merge

We’re rapidly moving toward a hybrid existence where the digital and physical are inseparably linked. Avatars aren’t going to replace reality, but they are going to expand it—whether it's for work meetings in virtual spaces, socializing at digital events, or fitness apps that bring avatars into the gym. It’s not about escaping the real world but enhancing it and adding layers to our daily lives that make things more interactive, imaginative, and interconnected.

In this new landscape, brands and consumers alike have to adapt quickly. The winners will be those who can navigate the ethics of this new world while creating experiences that feel authentic, meaningful, and—above all—human. While we should certainly embrace the possibilities, we should also ask the hard questions: How do we maintain a sense of authenticity in a world where anything can be an avatar? How do we keep digital spaces from becoming as commercialized as the real ones? And what does it mean for us, as people, when reality itself becomes a matter of choice?

We may not have all the answers yet, but one thing’s sure: the line between what is “real” and what is "unreal" is getting thinner.

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At Meta’s recent Connect conference, Mark Zuckerberg unveiled the company’s latest leap into the metaverse: Orion, augmented reality glasses that seem to bring the digital and physical worlds closer than ever before. While still in the prototype stage, Orion’s sleek design and impressive functionality, controlled via a wrist-based neural interface, demonstrate how quickly the metaverse is becoming a reality. But as exciting as this technology is, it also raises significant concerns. Orion is not just a futuristic gadget but also a wake-up call for regulators and policymakers.

The metaverse and the extended reality technologies that will power it are evolving rapidly. While artificial intelligence has dominated the conversation around tech regulation, AR and VR technologies are swiftly catching up. Should companies like Meta succeed in integrating AR seamlessly into everyday life, we must address the privacy, safety, and ethical issues surrounding these devices before they hit the market.

A Glimpse Into the Future: Meta’s Orion Glasses

When Zuckerberg took the stage at Meta’s Connect conference to showcase Orion, he wasn’t just demonstrating a new gadget; he was unveiling a vision for the future of digital interaction. Unlike the bulky headsets of previous iterations, Orion glasses resemble everyday eyewear, making them far more approachable for consumers. Imagine walking down the street while virtual elements such as directions, notifications, or even video calls seamlessly appear in your field of view. No more clunky visors or handheld controllers - just sleek glasses powered by a neural interface worn on your wrist.

This technology feels like something out of science fiction, yet it’s closer to reality than many might think. However, Orion’s real innovation isn’t just the hardware—it’s the potential to fundamentally change how we interact with the world around us. As always, with great innovation comes great responsibility.

The Privacy and Security Risks of XR Technology

While Meta’s AR glasses might offer a glimpse into the future of connected experiences, they also spotlight some critical regulatory challenges. Orion isn't available for purchase yet, but the technology underpinning these devices—such as front-facing cameras, GPS, and cellular data capabilities—raises significant privacy and security concerns.

By their very nature, AR devices are designed to capture vast amounts of data. This includes not just user data but potentially everything and everyone in the user’s immediate surroundings. The idea of a device that can record, analyze, and integrate information in real-time while worn inconspicuously is a privacy nightmare waiting to happen. Imagine attending a private event where someone’s glasses quietly record every detail. Such a scenario may sound far-fetched now, but with Orion’s capabilities, they could soon be everyday occurrences.

In Derek Robertson’s Politico piece, I was quoted as warning that regulators must take notice. The data-driven nature of AR technologies, like Orion, should push policymakers to prepare for the potential risks before these products go mainstream.

The Shift in Focus from AI to XR

While artificial intelligence continues to capture the attention of regulators and policymakers worldwide, extended reality technologies are advancing just as quickly. Yet, the regulatory conversation around XR needs to catch up. AI is powerful and has its own regulatory challenges, but AR devices like Meta’s Orion introduce a new layer of complexity because they blur the lines between digital and physical privacy. What happens when you’re no longer interacting with a screen but with the world around you that’s augmented by digital information?

This is why XR advocates call for comprehensive privacy laws that address the unique risks posed by these technologies. Meta’s Ray-Ban smart glasses already sparked controversy over privacy violations, allowing users to record videos discreetly. As AR glasses become more sophisticated and widespread, the potential for misuse grows exponentially. Facial recognition technology embedded in everyday glasses could lead to widespread “doxxing”—the act of revealing someone’s private information without consent. And while companies like Meta insist that certain features, such as facial recognition, violate their terms of service, that’s unlikely to stop determined developers from creating software that skirts these rules.

It’s no longer just about privacy but safety, consent, and transparency. If AR technology is to become part of our daily lives, we must establish clear guidelines and safeguards sooner rather than later.

Companies and Regulators Must Work Together

As XR technologies like Meta’s Orion glasses inch closer to mass adoption, the need for collaboration between companies and regulators is becoming more urgent. The stakes are high: failing to regulate XR properly could lead to a society where privacy is a thing of the past, personal data is collected without consent, and safety risks are magnified in ways we have yet to understand fully. However, this is more than just the responsibility of regulators. Companies, too, must play a proactive role in addressing the potential risks of their innovations. Statements alone won’t be enough. There needs to be a genuine partnership between tech companies, regulators, and advocacy groups to ensure that the metaverse is built on principles of privacy, accessibility, and safety.

Regulating AR and VR technologies is an enormous task. Unlike other digital products, AR integrates deeply into the physical world, raising questions about balancing innovation with individual rights. How do we ensure that users know what data is being collected? How do we protect non-users from being unknowingly recorded? These questions need answers quickly before XR technology like Meta’s Orion glasses becomes as ubiquitous as smartphones.

What’s Next for XR Regulation?

The challenges associated with AR and VR technologies will only intensify as the metaverse continues to take shape. While Meta’s Orion glasses offer an exciting glimpse into the future, they also underscore the need for comprehensive regulations to protect privacy, ensure security, and prevent abuse.

In the coming months and years, we will likely see more XR devices enter the market, each more powerful and immersive than the last. Regulators must act swiftly to develop frameworks to keep pace with this rapid innovation, ensuring that XR technology enhances our lives without compromising our safety or privacy. The future of the metaverse is thrilling, but it will require careful regulation to ensure that it’s a future we all want to live in and be a part of.

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• Listen: EP.100 “Part 2 with Matthew Ball”

• Read: Deep Dive on the Rise of Avatars Online

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Caught My Attention…

• Blizzard Entertainment, once hailed as the "Pixar of video games," built an impressive legacy through hit franchises like Warcraft, Diablo, StarCraft, Hearthstone, and Overwatch, each of which became a cultural phenomenon. The company’s success stemmed from core principles like prioritizing players over profits, only releasing games when ready, iterating on existing genres, and constantly playtesting their projects. However, Blizzard’s fall from grace in recent years has overshadowed its contributions to gaming, writes Jason Schreier from Bloomberg. Despite setbacks and project cancellations, Blizzard's focus on quality and innovation helped shape the gaming industry, leading to its eventual acquisition by Microsoft in a $69 billion deal.

• Heidi Klum, inspired by her daughter Lou’s experience with virtual fashion games, has launched her own inclusive game, Modelverse, on Roblox. Partnering with Supersocial, Klum aimed to create a platform that allows for diverse body types and creative expression, addressing her concern that existing games promote a narrow beauty standard, writes Adriana Lee of WWD. In Modelverse, players can design avatars with various shapes or even as whimsical characters like marshmallows or sausages and compete in catwalk competitions judged by Klum and the Roblox community. Unlike other virtual spaces, Modelverse focuses on creativity and community over commercialization, allowing players to carry their virtual fashion across the Roblox platform's millions of experiences.

• As major sports brands explore the metaverse, live sports may help drive broader adoption of virtual worlds, writes Alexander Lee from Digiday. While the hype around the metaverse has cooled since its peak in 2021-2022, recent developments—such as Major League Baseball (MLB) allowing NFT avatar holders to attend and watch games in a virtual stadium—show new potential for brand engagement. For a recent Tampa Bay Rays vs. Detroit Tigers game, fans could view the action in real-time within a virtual ballpark, an experiment MLB sees an opportunity for fans and advertisers alike. Though the initiative is still in its early stages with modest user numbers, it signals future revenue potential through sponsorships, branded experiences, and even virtual ticket sales. While the NFL and other sports organizations also invest in their metaverse presences, MLB is the first to broadcast a real-time virtual game. For now, these efforts target younger audiences, but the growing integration of live sports into virtual worlds suggests that broader engagement across demographics may not be far off.

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Other Reading…

• An ambitious competitor to The Sims is in the works, for some personal reasons (Game File)

• The Dawn of AI News Agents (The Media Copilot)

• Hasbro is bringing classic board games to Fortnite, starting with Clue (The Verge)

• Qualcomm and Epic Games Partner to Elevate In-Vehicle User Experiences with Unreal Engine and Snapdragon Digital Chassis Solutions (Qualcomm)

• Heidi Klum and Supersocial Bring the Runway to Roblox with the Launch of "Modelverse" (Supersocial)

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In the evolving landscape of digital culture, fashion has found its new frontier: the metaverse. No longer confined to physical runways or glossy magazine spreads, fashion is expanding into immersive virtual worlds where self-expression takes on new meaning. A new experience on Roblox is planting a seed at the heart of this transformation - Modelverse, a unique collaboration between Supersocial and supermodel Heidi Klum launching today on Roblox.

Modelverse isn't just another game—it's a blueprint for how digital environments can foster creativity, community, and engagement at a never-before-seen scale. As the metaverse grows, so does the opportunity for brands and creators to participate in this cultural shift. But what does this mean for marketers, fashion brands, and anyone interested in reaching today’s digital natives?

Let’s explore the power of Modelverse and what its launch reveals about the future of self-expression, digital fashion, and brand engagement in the metaverse.

The Power of Digital Self-Expression

The rise of platforms like Roblox signals a significant cultural shift: digital self-expression is becoming just as important—if not more important—than physical self-expression, especially for younger generations. According to data, 56% of Gen Z users on Roblox say that designing a look for their avatar is more important than their physical style.

This insight is a game-changer for brands and marketers. We’re witnessing the birth of a new kind of consumer who spends significant time in virtual worlds and views their digital persona as an extension of their identity. Roblox’s 79.5 million daily active users are not just gamers; they are creators, designers, and trendsetters in their own right, shaping the digital culture around them.

Inspired by watching her daughter explore creativity on Roblox, Heidi Klum saw the potential to take self-expression to a new level. With Modelverse, players can walk the virtual runway at events inspired by some of the most exclusive real-world gatherings—think high-fashion galas, award shows, and her iconic Halloween parties. Users aren’t limited to playing as themselves; they can reinvent their avatars in any way they choose, even showing up as a hot dog or a worm. This freedom to reimagine oneself is central to the metaverse's appeal: unbounded creativity.

The Intersection of Fashion and Virtual Worlds

Fashion in the metaverse is not just about dressing up avatars—it’s about offering users a way to connect, create, and communicate through what they wear. In Modelverse, users can style their avatars using items from their existing Roblox inventory or browse the expansive Marketplace catalog to put together unique looks. With Heidi Klum judging the fashion shows alongside the Roblox community, the stakes feel real, and the creative potential is limitless.

The metaverse represents an opportunity for fashion brands to engage with a new, digitally savvy audience. Modelverse offers brands the chance to enter this space in an organic, authentic way. Imagine a high-fashion label debuting an exclusive virtual collection on Roblox, where users can style their avatars and compete in a digital fashion show. For luxury brands that have historically thrived on exclusivity, the metaverse offers a new kind of exclusivity—one that’s defined not by physical limits but by creativity and digital currency.

And the market is primed for this shift. As Roblox moves toward integrating commerce on the platform, we’re looking at a future where virtual fashion can bridge the gap between the digital and physical worlds. A user might design a virtual outfit in Modelverse, and then purchase a physical version of that outfit from the brand. The possibilities are limitless, and the brands that seize this opportunity early will be best positioned to lead the next wave of digital fashion.

What Modelverse Teaches Us About Brand Engagement in the Metaverse

For brands and marketers, the key takeaway from Modelverse is simple: engagement in the metaverse is driven by creativity, community, and self-expression. Traditional advertising methods won't cut it in virtual worlds. To thrive in the metaverse, brands must create experiences inviting users to participate, co-create, and share.

Supersocial is at the forefront of designing immersive experiences. With Modelverse, they’ve tapped into the growing trend of users seeking new ways to express themselves digitally. By combining Heidi Klum’s passion for fashion with Roblox’s ability to bring communities together, Supersocial created an experience that feels both aspirational and accessible to users.

But it’s not just about fashion—it’s about the broader trend of digital culture. In today’s world, users are looking for brands to offer more than just products. They want spaces where they can explore their identities, connect with like-minded communities, and feel empowered to create. These desires converge in the metaverse, and the brands that can facilitate these experiences will become cultural leaders.

The Future: Bridging the Virtual and Physical Worlds

One of the most exciting aspects of Modelverse is its potential for the future. As Roblox continues to evolve, its vision to integrate commerce into the platform is becoming a reality. This sets the stage for virtual creations—like the ones users design in Modelverse—to eventually find their way into the physical world. We’re on the cusp of a future where the lines between virtual and physical fashion blur, opening up new business models and revenue streams for brands.

Imagine a world where users not only style their avatars but also have the option to buy physical versions of their virtual outfits. This is the direction the metaverse is headed, and it’s why Modelverse is more than just a fun fashion game—it’s a strategic platform for future growth. Brands that recognize this potential now will be able to create seamless digital-to-physical experiences that appeal to a generation that views the metaverse as a natural extension of their lives.

What’s Next?

As Modelverse gains traction, we’re just beginning to scratch the surface of what’s possible in the metaverse. The project highlights the growing importance of virtual worlds in shaping consumer behavior and culture. For brands, the takeaway is clear: invest in the metaverse now. Create experiences that inspire creativity, foster community, and allow users to express themselves in ways that feel authentic.

Supersocial is leading this charge. Through innovative collaborations like Modelverse, they’re navigating the complexities of the metaverse and creating experiences that resonate with today’s digital natives.

If you’re ready to take your brand into the metaverse and explore how virtual worlds can drive engagement and growth, you should talk to Supersocial. The future of digital culture is happening now, and they’re excited to help shape it.

Modelverse is available now on Roblox. To strut the virtual catwalk, please visit here. To follow along for more updates on new developments and special rewards, users can also join the Modelverse Discord server here. 

Modelverse in the media: VentureBeat, TODAY, WWD.

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Listen:

• EP.100 “Part 2 with Matthew Ball”

• EP.99 “The Race for AI Hardware Supremacy with Cathy Hackl”

Read:

• Deep Dive on the Rise of Avatars Online

The One Thing…

Meta’s unveiling of its Orion AR glasses and AI advancements at the Connect 2024 conference clearly shows the company’s vision for merging augmented reality and artificial intelligence into our daily lives. At the heart of this evolution is Orion, Meta’s first working prototype of genuine AR glasses, which aims to bring immersive digital experiences to the forefront of personal computing. What makes Orion stand out is its lightweight, all-day wearable design and the integration of holographic displays that blend digital content with the physical world. These glasses are positioned as the next major leap in computing, allowing users to multitask with 3D holographic displays, interact with an AI assistant, and engage in hands-free communication—sending messages or receiving real-time translations, all without reaching for a smartphone.

Meta also introduced an advanced neural interface wristband that reads subtle muscle movements, allowing users to control menus and apps through simple gestures like pinching or fist movements​. Meta’s approach aligns closely with their broader focus on blending AI with the metaverse. Beyond Orion, the company is upgrading its AI models, such as Llama 3, which powers many smart functionalities embedded in these devices. The fusion of these technologies suggests a future where AR glasses don’t just enhance entertainment or workspaces but also revolutionize how we interact with the world around us, whether by providing real-time contextual information or connecting us to others in innovative, immersive ways​. However, Orion is still very much a prototype. While Orion’s functionality is promising, significant hurdles exist before it becomes consumer-ready. Issues like its current weight and the slight visual distortions in its holographic displays need refinement. Nevertheless, Meta has been clear that Orion is a foundational step toward the consumer AR glasses it plans to release in the near future.

Meta’s bold vision of the future is beginning to take shape through products like Orion, where the boundaries between physical and digital realities blur, and AI becomes a more integrated part of our daily experiences. Whether it’s work, social interaction, or entertainment, Meta’s AR and AI innovations are setting the stage for a new era of connectivity.

To dive further into Meta Connect 2024, check the following:

• Connect 2024 Keynote (Mark Zuckerberg)

• Meta’s big tease (Alex Heath, The Verge)

• Hail Zuckus Maximus! The master of the metaverse is finally sorry … for being sorry (Marina Hyde, The Guardian)

• At Meta Connect, it’s Zuck or nothing (Casey Newton, Platformer)

• Meta is giving its metaverse avatars a glow-up (Jay Peters, The Verge)

• Meta Merges Its AI And Metaverse Visions (Tim Bajarin, Forbes)

• An Interview with Meta CTO Andrew Bosworth About Orion and Reality Labs (Ben Thompson, Stratechery)

• Hardware Matters - Meta's Orion glasses might be the best path to a true AI assistant (Pete Pachal, The Media Copilot)

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Caught My Attention…

• Discord is expanding its developer ecosystem by opening up Discord Activities to all developers, allowing them to build, distribute, and monetize games and interactive experiences directly within the platform. With the Embedded App SDK, developers can leverage Discord’s social environment to create engaging, social gameplay experiences that are easily accessible to millions of users. The platform’s new discovery features and monetization options, such as in-app purchases, are designed to help developers reach a wider audience and generate revenue. This move signals Discord’s commitment to fostering creativity and innovation in social gaming.

• OpenAI has officially shifted from its original nonprofit mission to a for-profit structure, placing profit and shareholder interests at the forefront. This significant move grants CEO Sam Altman greater control and equity, marking a departure from OpenAI's founding vision of prioritizing AI safety and public benefit. The company’s transformation has sparked concerns, as some argue it violates the nonprofit’s original mandate to protect humanity. Altman's consolidation of power, alongside the growing influence of investors like Microsoft, signals a turning point where financial incentives drive decisions, potentially undermining the public trust and transparency on which OpenAI was founded. Critics argue this shift underscores the need for stronger regulation in the AI industry to ensure companies like OpenAI remain accountable.

• Web games experienced a rise and fall mainly due to the rise of mobile gaming, which provided better convenience and accessibility. Early pioneers like Miniclip democratized gaming on the web, but web games seemed to fade as mobile became dominant. However, web games are seeing a resurgence, thanks to new technologies like HTML5 and WebAssembly that close the gap between web and native platform performance. Developers are now finding opportunities in the reduced need for app installations, the flexibility of web-based distribution, and the potential to reach underserved audiences. This new generation of web games promises faster, more accessible gameplay experiences that cater to today’s app-fatigued users while tapping into platforms like Discord's social and viral potential. The future of web gaming lies in delivering experiences that balance performance, accessibility, and ease of discovery.

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Other Reading…

• Anime Is Eating The World (A16Z)

• UGC Hidden in Plain Sight (Bits of Signum)

• What is going on at OpenAI?

• How Astro Bot's iconic PlayStation bots were made (Game File)

• How metaverse platforms could solve the loneliness epidemic (Cointelegraph)

• How Gamefam built the 1st branded Roblox game to cross 1B visits — Sonic Speed Simulator (VentureBeat)

• How a YouTuber Got Inside the Heads of Silicon Valley’s Families (The Information)

• Tomasz Tunguz’s Theory Ventures bets $12M on Initia, the ‘iOS for web3’ (TechCrunch)

• Playtika’s $2 billion bet (SuperJoost Playlist)

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Read my Deep Dive on the Rise of Avatars Online

Caught My Attention…

• California’s new deepfake laws aim to tackle election-related misinformation by requiring social media companies to moderate and label AI-generated content that could deceive voters. Signed by Governor Gavin Newsom, these laws are among the first of their kind, signaling a growing trend in regulating the spread of manipulative AI content. While only one of these laws will be in effect for the 2024 presidential election, they serve as a blueprint for future legislation nationwide. Critics argue that these laws may face legal challenges due to First Amendment concerns and the complexity of distinguishing between deceptive speech and satire. Despite these hurdles, California is pushing forward, highlighting the urgent need to address the growing impact of AI on democracy.

• My friend and fellow builder, Joost, wrote a terrific piece about the theory of innovation cycles in interactive entertainment. In it, he asserts that the video game industry isn't just reacting to technological advancements but following a deeper cyclical pattern that alternates between content and distribution innovation. His "Play Pendulum" theory suggests that the industry swings from creating groundbreaking content every decade to finding new ways to distribute and monetize it. This cycle has repeatedly shaped the market's trajectory from the early days of Atari and Nintendo's carefully controlled ecosystems to the rise of digital platforms like Steam and the mobile gaming revolution. Joost writes that the latest swing towards distribution is marked by a focus on user-generated content and new monetization models, signaling a transformative period for gaming. Understanding these cycles is critical to predicting who will dominate the next era of interactive entertainment. The final argument is that as we enter this new phase, companies aligning themselves with the current distribution wave will likely lead the industry into its next chapter of growth and innovation.

• Palmer Luckey, the founder of Oculus VR and current head of Anduril Industries, is returning his technological expertise to headsets—this time for the battlefield. Anduril’s Lattice software will be integrated into Microsoft’s Integrated Visual Augmentation System (IVAS), enhancing soldiers' situational awareness by merging live data from various defense systems into one augmented reality display. Despite early setbacks with IVAS, including user discomfort, the U.S. Army remains committed, planning to spend $21.9 billion on the project. Luckey’s vision of blending sci-fi concepts with real-world military applications rapidly materializes, making augmented reality a valuable tool for modern warfare. While some in Big Tech resist defense collaborations, Luckey is unapologetically enthusiastic, believing these innovations are crucial for future combat effectiveness.

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Other Reading…

• Snapchat is getting its biggest redesign in years (The Verge)

• Why Twitch is launching its own Fortnite Creative experience, ‘The Glitch’ (Digiday)

• Salesforce’s AgentForce: The AI assistants that want to run your entire business (VentureBeat)

• Foldables Are Becoming Good Enough to Be Your Next Smartphone (NYT)

• Instagram rolls out stricter rules for teens to help curb social-media safety concerns (Snacks by Robinhood)

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Read my Deep Dive on the Rise of Avatars Online

Caught My Attention…

• OpenAI's new model, o1, represents a significant step forward in AI reasoning by leveraging a chain of thought mechanism that allows it to think deeply before responding. Trained using a reinforcement learning algorithm that refines problem-solving strategies, o1 outperforms its predecessor, GPT-4o, in reasoning-heavy domains like coding, math, and data analysis. It ranks highly on benchmarks such as competitive programming, achieving strong results in the 2024 International Olympiad in Informatics (IOI), and surpassing human-level performance in physics and biology. The model also excels in safety and alignment, substantially improving the handling of challenging and potentially harmful prompts. This careful integration of chain-of-thought reasoning enhances o1’s accuracy and robustness and offers promising applications in fields requiring nuanced decision-making and problem-solving.

• Roblox’s new sensation, "Dress to Impress" is redefining the typical Roblox experience and drawing in an audience far beyond its usual tween demographic (New York Times). The fashion game, launched by a young group of developers, has surged in popularity, captivating players with its simple yet competitive format: users have five minutes to create themed outfits and are then judged by others in a quest to become a Top Model. The game’s unique appeal lies in its divergence from Roblox's usual blocky aesthetic, offering highly customizable avatars that resonate with fashion enthusiasts. It’s this visual difference, along with its accessibility and the developers' responsiveness to player feedback, that has enticed older players, including celebrities like James Charles and Charli XCX, to join the fun. With over 2.7 billion plays and an ever-growing fanbase, "Dress to Impress" has proven that Roblox can be more than just a platform for kids. The game’s success at the recent Roblox Innovation Awards and its capacity to attract users in their late 20s and 30s underscore its potential to reshape the Roblox landscape.

• Once the epicenter of decentralized finance, Bitcoin has seen its dominance wane as rival blockchains like Ethereum and Solana have capitalized on its stagnation. Willem Schroé, CEO of Botanix Labs, argues that it’s time for a cultural and technological resurgence to return Bitcoin to its foundational mission: disrupting the traditional financial system with a decentralized, permissionless alternative (Coindesk). Early Bitcoin innovations like Tether and decentralized exchanges laid the groundwork, but ideological rifts within the community pushed developers and capital toward other platforms. With new projects, layer-two networks, and billions in fresh investment, there’s a renewed push to build on Bitcoin's unparalleled security and network strength. The future of decentralized finance could still be in the form of Bitcoin. Still, it demands a recommitment to innovation, collaboration, and building an inclusive financial ecosystem that lives up to Bitcoin’s original vision.

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Other Reading…

• Playing with Strawberry: When machines can reason (Exponential View)

• Why NARS’ 360 Approach Is A Retail Benchmark (Forbes)

• Mark Zuckerberg’s 20-year mistake (Platformer)

• My kids’ first PlayStation game (Game File)

• Over 86% of Web3 people are confident in the future of crypto (Cointelegraph)

• Roblox, Shopify partner to sell physical products in the metaverse (Retail Dive)

• Org gives rural communities first glimpse into wonders of metaverse (AfricaNews)

• Roblox Chief Scientist Foresees Making Games By Voice (Forbes)

• Humanity in the Age of AI (Stanford University)

• Beidou Navigation Satellite System metaverse resource sharing and commons sustainable development framework (School of Government, Beijing Normal University)

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Roblox, a platform that started as a simple sandbox for kids to create and play games, is now gearing up for an ambitious transformation. The company’s goal? To capture 10% of the global gaming content revenue and reach a staggering 1 billion daily active users (DAUs). In today’s terms, that equals between $16-18 billion, with roughly $3-3.5 billion going to developers (Roblox paid developers around $800m in the past 12 months).

CEO David Baszucki laid out his vision during the Roblox Developers Conference (RDC), highlighting how the company plans to evolve beyond gaming and become a comprehensive social and creative platform:

Evolving from a gaming platform to a social universe at its core, Roblox aims to redefine its identity as a gaming platform and as a broader social ecosystem. With its current user base of 79.5 million DAUs, Roblox already commands a significant portion of the gaming world. Matthew Ball recently highlighted that Roblox might have more monthly users than the entire AAA gaming ecosystem combined. Yet, the vision goes beyond gaming. Baszucki sees a future where while 80% of users are on the platform to play games, the rest will come to socialize, consume entertainment, learn, shop, or connect with others. To facilitate this evolution, Roblox is introducing new features like:

1. Party, allowing friends to group up and play games together more efficiently

2. Roblox Communities, providing developers with enhanced tools to manage their communities, including forums for users to give feedback and discuss experiences.

These changes are designed to create a more engaging, interactive, and community-driven platform, emphasizing the social aspect of Roblox beyond just gaming.

One of the most intriguing announcements from RDC was Roblox's plan to roll out a generative AI tool. This tool will empower creators to build complex 3D environments simply by typing a text prompt, such as "Generate a racetrack in the desert." The AI will generate the entire scene, saving creators valuable time and allowing those with minimal 3D modeling skills to craft compelling environments. Roblox's approach to generative AI involves using a model that "tokenizes" 3D blocks, treating them as units that can be predicted, much like a language model predicts the next word in a sentence. A second AI model, trained on 2D data, checks the work of the 3D model to ensure logical consistency. This double-checking mechanism reduces errors like placing trees in the middle of racetracks. This AI-powered approach will enhance the speed and quality of content creation and open the door for developers of all skill levels to participate more fully in building Roblox experiences.

Roblox's push to grow its platform also includes a renewed focus on empowering its creators. Several new initiatives are being rolled out to help developers scale their businesses and earn more from their creations. These include:

1. Creator Affiliate Program, where developers can earn revenue by bringing new users to the platform.

2. Sell physical merchandise within Roblox experiences, thanks to a partnership with Shopify.

3. Roblox is increasing the revenue share for paid experiences. The company has optimized its infrastructure to keep costs low, enabling it to offer up to a 70% revenue share for developers creating high-value, paid experiences. This shift in economics and price optimization tools could make Roblox even more attractive for developers looking to monetize their content differently.

Safety remains a critical focus for Roblox, especially as it grows its user base across all age groups. The platform has been criticized for issues around moderation and the safety of its younger users, but Roblox is addressing these concerns head-on. With over 250 AI models currently live, the company employs AI to monitor voice chat in real-time, screen for inappropriate content, and issue instant reprimands or bans for repeated violations. Baszucki reiterated the company’s commitment to safety, stating that any incident on the platform is "unacceptable." Roblox is also releasing new tools like the Ban API and Alt Account detection to help developers maintain a safe environment in their experiences. By improving safety and transparency, Roblox hopes to build trust and ensure a positive user experience, vital for sustaining growth and reaching its target of 1 billion users.

Roblox's ambitious goals come with significant challenges. Capturing 10% of the global gaming content revenue is no small feat, especially given the fierce competition from other platforms. However, Roblox does not rely solely on traditional gaming experiences to achieve this. Expanding into social interactions, commerce, and AI-driven content creation, it’s betting on a future where it becomes a central hub for digital social interaction and creativity. The company's decision to open-source its 3D foundational AI model is another strategic move that reflects its commitment to innovation and collaboration. While this could allow competitors to benefit, it also has the potential to drive broader adoption of Roblox's technology, ultimately enhancing its ecosystem.

Roblox is positioning itself as more than just a gaming platform; it aims to be a cornerstone of digital social interaction, creation, and commerce. By leveraging AI, expanding monetization opportunities for creators, and focusing on safety and community, Roblox is laying the groundwork for an ambitious future. Whether it can achieve its goal of 1 billion daily active users remains to be seen, but one thing is clear: Roblox is reshaping the boundaries of what a digital platform can be.

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Read my Deep Dive on the Rise of Avatars Online

Caught My Attention…

Roblox announcements from RDC.

Roblox, a platform that started as a simple sandbox for kids to create and play games, is now gearing up for an ambitious transformation. The company’s goal? To capture 10% of the global gaming content revenue and reach a staggering 1 billion daily active users (DAUs). CEO David Baszucki laid out his vision during the Roblox Developers Conference (RDC), highlighting how the company plans to evolve beyond gaming and become a comprehensive social and creative platform.

Evolving from a Gaming Platform to a Social Universe at its core, Roblox aims to redefine its identity—not just as a gaming platform, but as a broader social ecosystem. With its current user base of 79.5 million DAUs, Roblox already commands a significant portion of the gaming world. Baszucki said Roblox could have more monthly users than the entire AAA gaming ecosystem combined. Yet, the vision goes beyond gaming. Baszucki sees a future where only 80% of users are on the platform to play games. The rest will come to socialize, consume entertainment, learn, shop, or connect with others. To facilitate this evolution, Roblox is introducing new features like Party, allowing friends to group up and play games together more efficiently. Additionally, Roblox Communities will provide developers with enhanced tools to manage their communities, including forums for users to give feedback and discuss experiences. These changes are designed to create a more engaging, interactive, and community-driven platform, emphasizing the social aspect of Roblox beyond just gaming.

One of the most intriguing announcements from RDC was Roblox's plan to roll out a generative AI tool. This tool will empower creators to build complex 3D environments simply by typing a text prompt, such as "Generate a racetrack in the desert." The AI will generate the entire scene, saving creators valuable time and allowing those with minimal 3D modeling skills to craft compelling environments. Roblox's approach to generative AI involves using a model that "tokenizes" 3D blocks, treating them as units that can be predicted, much like a language model predicts the next word in a sentence. A second AI model, trained on 2D data, checks the work of the 3D model to ensure logical consistency. This double-checking mechanism reduces errors like placing trees in the middle of racetracks. This AI-powered approach will enhance the speed and quality of content creation and open the door for developers of all skill levels to participate more fully in building Roblox experiences.

Roblox's push to grow its platform also includes a renewed focus on empowering its creators. Several new initiatives are being rolled out to help developers scale their businesses and earn more from their creations. These include a Creator Affiliate Program, where developers can earn revenue for bringing new users to the platform, and new opportunities to sell physical merchandise within Roblox experiences, thanks to a partnership with Shopify. Additionally, Roblox is increasing the revenue share for paid experiences. The company has optimized its infrastructure to keep costs low, enabling it to offer up to a 70% revenue share for developers creating high-value, paid experiences. This shift in economics and price optimization tools could make Roblox even more attractive for developers looking to monetize their content differently.

Safety remains a critical focus for Roblox, especially as it grows its user base across all age groups. The platform has been criticized for issues around moderation and the safety of its younger users, but Roblox is addressing these concerns head-on. With over 250 AI models currently live, the company employs AI to monitor voice chat in real-time, screen for inappropriate content, and issue instant reprimands or bans for repeated violations. Baszucki reiterated the company’s commitment to safety, stating that any incident on the platform is "unacceptable." Roblox is also releasing new tools like the Ban API and Alt Account detection to help developers maintain a safe environment in their experiences. By improving safety and transparency, Roblox hopes to build trust and ensure a positive user experience, vital for sustaining growth and reaching its target of 1 billion users.

Roblox's ambitious goals come with significant challenges. Capturing 10% of the global gaming content revenue is no small feat, especially given the fierce competition from other platforms. However, Roblox does not rely solely on traditional gaming experiences to achieve this. Expanding into social interactions, commerce, and AI-driven content creation, it’s betting on a future where it becomes a central hub for digital social interaction and creativity. The company's decision to open-source its 3D foundational AI model is another strategic move that reflects its commitment to innovation and collaboration. While this could allow competitors to benefit, it also has the potential to drive broader adoption of Roblox's technology, ultimately enhancing its ecosystem.

Roblox is positioning itself as more than just a gaming platform; it aims to be a cornerstone of digital social interaction, creation, and commerce. By leveraging AI, expanding monetization opportunities for creators, and focusing on safety and community, Roblox is laying the groundwork for an ambitious future. Whether it can achieve its goal of 1 billion daily active users remains to be seen, but one thing is clear: Roblox is reshaping the boundaries of what a digital platform can be.

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Discord can reimagine social gaming.

Originally designed as a communication platform for gamers, Discord is doubling down on its roots by creating a robust ecosystem for web-based games directly on its platform. With over 200 million monthly active users—many gamers—Discord has launched Discord Activities, allowing users to play games and enjoy other interactive experiences without leaving the app. This new feature leverages Discord's strengths: social integration, developer-friendly tools, and a passionate, gaming-centric user base. By offering integrated social features like chat, voice, and video, Discord aims to provide a unique, immersive experience that sets it apart from previous social platforms like Facebook and Snapchat's attempts to enter the gaming space.

The opportunity for developers is significant, according to A16Z’s Game Fund. With its deep focus on social engagement, Discord's platform is built to support game creators in cultivating communities and driving long-term engagement. Unlike previous platforms that failed to balance their core social media functions with gaming, Discord’s foundation is already intrinsically social, making it a natural fit for integrating games. Developers are encouraged to design games that utilize Discord’s social channels and work closely with the platform team to refine their creations. As Discord continues to expand its Activities feature, early adopters have a unique chance to innovate and capture a growing audience, potentially shaping the future of social gaming.

Other Reading…

• Why humanity needs AI (Exponential View)

• Yuval Harari’s Apocalyptic Vision (The Atlantic)

• AI Avatars as a Journalist's Shield (The Media Copilot)

• A few thoughts on games as a platform (Superjoost Playlist)

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Listen to Into The Metaverse #98 (with Cathy Hackl).

Read my Deep Dive on the Rise of Avatars Online

Caught My Attention…

• Jonathan Lai, a partner at A16Z’s Game Fund, wrote a terrific piece about the evolution of storytelling through technological advancements and predicts the rise of a new "Pixar" in the era of generative AI and interactive video. Historically, technological innovations like Disney’s multiplane camera, Marvel and DC's comic printing techniques, and Pixar’s 3D graphics shaped iconic storytelling formats. Today, Lai claims, a shift towards interactive media—driven by generative AI—opens new avenues for deep, dynamic storytelling that blurs the lines between video games and TV/film. The potential of interactive video lies in its ability to generate content in real-time, offering personalized and immersive experiences. Lai writes that as generative AI advances, interactive storytelling could become more scalable and cost-effective, enabling the creation of new forms of transmedia experiences that go beyond traditional media. According to Lai, this next-generation "Interactive Pixar" would merge storytelling, game design, and AI technology to build immersive worlds and narratives that redefine how stories are experienced and shared.

• Roblox's first economic and social impact report reveals its contribution to the U.S. economy by raising a new generation of creators and developers across the US. The report shows that between 2017 and 2023, Roblox’s Developer Exchange (DevEx) program generated nearly 18,000 full-time job equivalents and contributed $1.2 billion in GDP. The platform has empowered creators, many of whom are located outside traditional tech hubs, to monetize their creations, with 38% stating they wouldn't have earned income from interactive content without Roblox. The report also highlights success stories like MrWindy in Utah, who turned his passion for game development into a full-time career on Roblox. With accessible tools and low entry barriers, Roblox continues to foster an inclusive environment for creators of all backgrounds to build careers and businesses, fueling economic growth and technological innovation across the U.S.

• Meta is reportedly developing a new pair of mixed-reality glasses, codenamed "Puffin," aimed at challenging the Apple Vision Pro’s dominance in the augmented-reality market. Scheduled for a 2027 release, these glasses are expected to be significantly smaller and more affordable than Meta's current Quest headsets and Apple’s Vision Pro, which costs $3,500. "Puffin" will likely resemble smart glasses rather than a bulky headset, featuring hand gesture controls, holographic displays, in-built cameras, microphones, and speakers. Despite substantial investment losses in its Reality Labs division, Meta is committed to advancing its AR technology, hoping to appeal to a broader audience with this sleek, new offering.

Other Reading…

• Metaverse, Social Etiquette, and Societal Norms (HackerNoon)

• We’ve been waiting for tech to ‘democratize creativity’ – now, Apple is getting close (The Drum)

• Can Barbie help beat teen smartphone addiction? (BBC)

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Listen to Into The Metaverse #97, Building the Game Studios of the Future.

Read my Deep Dive on the Rise of Avatars Online

Caught My Attention…

• Prolific writer and analyst, Matthew Ball, published a new essay that focuses on Roblox. In “Roblox is Already the Biggest Game In The World. Why Can't It Make a Profit (And How Can It)?”, Matthew dives into the economics of the business and outlining the key reasons why Roblox is not yet a profitable company (from an accounting measures) but also why its future is promising). Ball writes: “With more than 350 million monthly active users, Rblox now rivals the size of the entire AAA ecosystem and towers over core competitors”. Check out the recent podcast episode with Matthew on Into The Metaverse (Part II coming soon!).

  

• Dress To Impress is the newest Roblox sensation, now engaging not only the Roblox community but also people who may have not been Roblox users so far. In “Everyone Is Playing This Girly Dress-Up Game For Kids”, Kotaku’s Alyssa Meracnte writes: “I didn’t really understand the allure, and like many Roblox games, Dress to Impress seems to be mostly played by children. But before long, Dress to Impress (or DTI as those in the know call it) was everywhere—in my day-long charity event, in my friend group, on the streams of high-profile influencers like CaseOh and Madison Beer. Earlier this month, it peaked at well over 370,000 concurrent players, according to fan-run Roblox site Rolimon’s”.

• Research indicates a secure, biometrically verified digital twin will need to be developed in order for the metaverse to work. In “Deciding who owns your ‘digital twin’ will make or break the metaverse”, Tristan Greene writes that the metaverse, as hyped by Big Tech and science fiction, remains largely unrealized, with minimal mass adoption and no experience akin to "Ready Player One." However, a recent Italian research paper suggests that the future of the metaverse may lie in the development of digital twins—data-driven, virtual counterparts of users that ensure privacy and secure data management. This research emphasizes the importance of interoperability and data ownership, proposing that users should control their own data, which could be stored in decentralized systems. As the metaverse evolves, these digital twins could revolutionize sectors like healthcare by providing real-time, personalized data insights.

Other Reading…

• HTC opens up the metaverse with Viverse Create, a no-code virtual world-building platform

• Nike and the LEGO Group Unite to Elevate the Power of Sport and Creative Play

• Meta and Snap are about to show off their new AR glasses

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A few thoughts:

We are at a very, very early stage in this opportunity. To think that 80 million daily active users, many under age 18, will immediately see Roblox as a platform where they purchase products online is a gross underestimation of what it takes to change people's perceptions.

For Roblox's 80 million DAUs, Roblox is, first and foremost, a platform to connect with friends, play games, and express themselves (which helps explain why and how Roblox became the world's most prominent online "game" and the Internet's most engaging social platform).

With that being said:

• More than 5 million online stores are on the Shopify platform.

• More than 9 million sellers are registered on Amazon's marketplace.

In the last several years, 500+ brands have launched a presence on Roblox through standalone experiences or integrations into existing games. It is a good start, but it also shows how early we are with brands and merchants considering Roblox as a marketing channel, let alone an e-commerce channel.

In the short term (1-3 years), I expect to see much experimentation by brands, IP owners, and studios, testing different ways to monetize through real-world commerce. This period will be critical for Roblox to prove there's a compelling opportunity for the platform around a commerce economy.

In the long term (5-7 years), should Roblox continue to attract and retain 18+ users successfully, it has a real chance of educating the platform's users that they should see Roblox as a place to not only make friends, play games, and express themselves but also purchase all sorts of products—from beauty to fashion to electronics.

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