Metaverse adoption in Southeast Asia is growing steadily, driven by factors such as increasing internet penetration, smartphone usage and a young, tech-savvy population. Companies in the region are exploring opportunities in extended reality and virtual worlds to engage users, offer immersive experiences and even conduct business. Government agencies and private players have announced several metaverse product launches and partnerships across sectors. However, challenges such as connectivity issues, digital literacy and regulatory frameworks in the region may affect the pace of adoption. A look at recent developments across countries, adoption roadblocks and future outlook…
Singapore
The Changi Airport Group, in collaboration with Accenture, launched a metaverse experience called ChangiVerse, a fresh way for new audiences to connect with Singapore Changi Airport and explore its sights in the digital space. ChangiVerse is the first virtual experience being developed by an airport on Roblox, a global shared experience platform with millions of daily users. In the banking sector, OCBC Bank joined the metaverse with the launch of OCBCx65Chulia. It occupies nine plots of virtual land in the platform, Decentraland. From Decentraland, visitors can open a bank account and apply for a credit card through instant access to the bank’s website. OCBCx65Chulia also allows customers to see the bank’s products, services and history.
The Singapore Tourism Board (STB) has launched Singapore Wanderland on Roblox, marking its first foray into one of the world’s most popular online game platforms. The new game allows players to engage with the destination virtually, drawing over 2 million visits since the beta version launched on May 11, 2023. Roblox has over 60 million daily active users worldwide, allowing STB to reach key markets such as India among others. The Sandbox, a decentralised gaming virtual world and a subsidiary of Animoca Brands, recently partnered with Affyn, a Singapore-based Web3 company developing games and metaverses with integrated geolocation and augmented reality capabilities. Together, these two entities plan to enhance interoperable metaverse experiences – a first-of-its-kind, community-focused interoperable and open metaverse to bring the global community of creators and collaborators together to forge sustainable ecosystems converging the virtual and physical worlds.
Malaysia
The Malaysia Digital Economy Corporation (MDEC) and Acxyn, a Web3 company, announced a collaboration to spearhead the development and widespread adoption of creative technologies in Malaysia. Through this collaboration, Acxyn seeks to lend its expertise to MDEC’s metaverse initiative. The ultimate objective is to position Malaysia as a global gaming hub that attracts international game studios and investments. Malaysian telecom operator CelcomDigi partnered with South Korea’s SK Telecom to expand the latter’s metaverse product “ifland” to Southeast Asia. Under the partnership, CelcomDigi will provide localised content and marketing for ifland in Malaysia, as well as primary customer support. Vietnam Meta Platforms has launched plans to boost its metaverse technology investments in Vietnam. Meta has also rolled out initiatives to back small and medium enterprises across
Vietnam
The metaverse tech giant is expected to support Vietnam across specific verticals such as artificial intelligence (AI), digital transformation, product innovation and the digital economy. More recently, Japanese technology company TOPPAN, Inc. and Vietnam-based system integrator FPT Information System Corporation announced a collaboration focused on creating new services and driving global expansion in the metaverse business. The companies will collaborate to drive the development of new metaverse solutions by providing each other with metaverse-related technology licences.
Thailand
The Tourism Authority of Thailand (TAT) has signed an MoU with Bitkub Blockchain Technology to cooperate in developing the Bitkub Metaverse. The collaboration is part of TAT’s ongoing strategy to leverage technology and innovation to transform Thai tourism into “smart tourism”. Under the MoU, TAT and Bitkub Blockchain Technology will cooperate to promote Thai tourism through the Bitkub Metaverse. This will be further developed to include an information centre on Thai tourism while promoting tourist landmarks and year-round travel experiences that simulate real-world tourist attractions and destinations with 3D images and videos. In the entertainment sector, Thai media corporation T&B Media Global, in partnership with digital product company Two Bulls, has launched the Translucia website. This metaverse project combines interconnected multiverses to provide space for users, creators and businesses to access its products and services.
Indonesia
Indonesia made a significant move towards becoming a major player in the global metaverse industry with the launch of the Indonesia Metaverse Collaboration Initiative in March 2023, in conjunction with the Mobile World Congress in Barcelona. The initiative was officially launched with the announcement of its Metaverse Research and Experience Center (MREC), a public-private partnership aimed at promoting collaboration, research, innovation and development in the field of metaverse technology. MREC is a multiyear programme with four workstreams – network baselining, network optimisation and innovation, use cases and ecosystem support. It is expected to facilitate investment plans in Indonesia, positioning the country as a leading hub for innovation in the digital economy.
Challenges and outlook
Metaverse requires low latency and high speed internet for immediate and uninterrupted response. However, in Southeast Asian countries, 5G services do not yet span nationwide. Moreover, access to devices capable of supporting metaverse experiences, such as virtual reality headsets or high-performance smartphones, may be limited by affordability constraints for certain segments of their populations. Clear and consistent regulatory frameworks are also needed for data and cybersecurity governance as metaverse is an open system that allows users around the world to engage in collaborative and simultaneous activities. Lastly, developing sustainable monetisation models for metaverse experiences, such as virtual goods sales, subscriptions and advertising, requires experimentation and innovation to find approaches that resonate with Southeast Asia’s consumers and creators.
Addressing these challenges will require collaboration among governments, businesses and tech companies to ensure widespread adoption of metaverse. That said, the metaverse market in the larger Asia Pacific is forecast to increase by a compound annual growth rate of 34.8 per cent during 2023-30. The spending value of metaverse in this region is predicted to increase from $65.5 billion in 2022 to $769.9 billion by 2030.
