In the rapid era of digitalization, the metaverse has become a hot topic among developed countries. While many nations focus on the entertainment aspect of the metaverse, China appears to have a different perspective. Adopting a more industry-oriented approach, can the Bamboo Curtain country lead the next metaverse revolution?
Why Does China Opt for an Industrial Approach?
There are several reasons why an industrial approach might be China’s key to success in the metaverse:
The metaverse, with its virtual simulation technology, has immense potential to revolutionize various industries like manufacturing, urban planning, and healthcare. In manufacturing, the metaverse can facilitate product design optimization, in-depth employee training, and manufacturing process optimization through virtual prototypes and real-time simulations, enabling instant collaboration between designers and engineers, thus reducing time and costs associated with physical prototypes.
Regarding urban planning, the metaverse can be applied for the visualization of city layouts and infrastructure in a 3D virtual environment, allowing urban planners to make better-informed decisions about urban development. Moreover, it enables public participation in urban development projects, offering citizens the chance to explore and provide input on proposed designs, and promoting sustainable development through the environmental impact analysis of urban designs.
In the healthcare sector, the metaverse can be used for medical training, patient rehabilitation, and remote consultations. Medical students can practice medical procedures in a risk-free virtual environment, while patients can undergo intensive virtual medical consultations and rehabilitation therapy. This technology can enhance the skills and confidence of prospective doctors and expedite patient recovery processes.
Overall, the metaverse offers innovative and interactive solutions that can address the specific needs of various industrial sectors, allowing enhanced learning, better design, optimized processes, and innovative solutions, which will ultimately contribute to the progress of these industries.
Metaverse technology, with its capabilities in virtual and augmented reality, opens new doors in industrial efficiency and innovation. It enables industries to develop prototypes in virtual environments, accelerating product development cycles and reducing costs associated with physical models. For instance, in the automotive industry, designers and engineers can collaborate in a 3D environment to test and modify car designs in real-time, allowing a faster response to market needs.
Additionally, the metaverse plays a crucial role in employee training and development. In the manufacturing sector, virtual simulations can be utilized for operational machine and production process training, reducing risks and enhancing employee skills while saving training time and costs. This also contributes to increased safety and reduction of incidents in the workplace.
The metaverse also supports industrial process optimization through real-time simulations and data analysis. Companies can visualize and optimize workflows, plant layouts, and production schedules to enhance productivity and reduce operational costs. This enables quicker and more accurate identification and resolution of inefficiencies and obstacles.
In conclusion, the implementation of the metaverse in industries promises a revolution in product design, employee training, and daily operations. The ability to integrate and optimize various operational aspects in a virtual environment offers opportunities for sustainable innovation and heightened competitiveness in the modern industrial era.
History shows that the Chinese government often provides full support to strategic sectors. With financial support and progressive regulations, the metaverse industry in China has the potential to grow rapidly. China is actively exploring the metaverse, with Beijing planning to create a ‘Digital Identity System’ for the metaverse and Web 3.0, following Shanghai’s footsteps. Even though known for being cautious in adopting advanced technologies, China sees significant potential in the metaverse and strives to establish a regulatory framework to develop virtual reality and the metaverse as part of the digital economy, as detailed in the Virtual Reality Development Action Plan released in November 2022. The proposed digital identity system aims to control user anonymity and identify individual characteristics in the metaverse, allowing regulated and controlled use of this technology. The regulatory proposal discussions are underway at the International Telecommunication Union (ITU), with the involvement of technology experts and Chinese telecom operators like China Mobile. This demonstrates China’s commitment to developing the metaverse in a safe and orderly manner, aligning with the high interest of its citizens, where 78% of Chinese citizens have expressed interest in the metaverse.
Differentiation from Competitors:
In the midst of tight global competition in the metaverse, China’s focus on industrial applications could be a key differentiator. While many other countries might be focusing more on entertainment aspects, China can lead in industrial applications of the metaverse. China chooses to focus on the industrial applications of the metaverse as part of its strategy to become a global leader in technology and innovation, aligning with the country’s ambitions to build competitive advantage in high technology and strengthen its trading position on the international stage. With its broad and diverse industrial sector, from manufacturing to healthcare, the integration of the metaverse allows for significant innovation and economic growth across various fields, enabling the development of specific and value-added solutions for industrial needs. Additionally, by focusing on industrial applications, China can also address challenges and risks associated with the metaverse, such as privacy and data security issues. The development of regulatory frameworks and technical standards for the industrial metaverse will ensure that this technology is developed and used safely, responsibly, and in line with national priorities and sustainable development goals.
Domestic Technology Development
China has been making substantial investments in cutting-edge technologies such as AI, 5G, and semiconductors, integrating these technologies with the metaverse to build a strong and competitive ecosystem. The adoption of 5G technology is key to the implementation of the metaverse, and I once read a book about the Metaverse written by experts in China, stating that mass adoption of the Metaverse will occur when 60% of the population has adopted 5G. Therefore, China currently seems to be focusing on developing 5G connectivity, hoping that the industrial sector will be the first adopter of this technology due to its higher purchasing power and more specific and limited scope. In the B2B context, this is considered a realistic step before introducing this technology to the end consumer. According to data from the GSMA The Mobile Economy Report China 2023, 5G penetration in China in 2023 is 45% of the population and is expected to reach 70% by 2027. Observing this data, it can be hypothesized that the evolution of Metaverse utilization in China will experience significant progress around the year 2027. Hence, in the coming years, we can observe how the integration between AI, 5G, semiconductors, and the metaverse can form a more synergistic and competitive technology ecosystem, where the industrial sector will play a key role in early adoption, before the metaverse truly enters and is accepted by the general consumers in China.
With an approach focused on the industry, China has the opportunity to lead the metaverse revolution in the future. However, as with any innovation, there will be challenges to face. With government support, investment in R&D, and a clear vision, China is on the right track to leverage the full potential of the metaverse for industrial interests and national economic growth.