South Korea’s high web firm Kakao and main recreation developer Com2uS are sizing down their metaverse groups because the digital world platforms recorded massive losses within the first half of 2023, native information company Newsis reported.
See associated article: South Koreans maintain almost US$100 billion in crypto abroad
Com2uS, a significant cellular recreation developer that recorded US$536 million in income final yr, not too long ago downsized its employees in its metaverse division, in line with Newsis. The main points concerning the employees cutback haven’t been revealed.The corporate’s metaverse platform, Com2Verse, formally launched on Aug. 1 this yr. Nevertheless, the enterprise arm behind the metaverse platform recorded an working lack of about US$6.2 million within the first half of this yr.Colorverse, one other South Korea-based metaverse firm, performed a spherical of layoffs earlier this yr with out disclosing the main points to the general public. Colorverse, owned by Kakao’s gaming subsidiary Kakao Video games and its affiliate Neptune, recorded US$8.6 million in losses final yr. In July, CyTown, a metaverse revamp of as soon as vastly fashionable native social media service Cyworld, shut down after a yr of service. The digital platform failed to draw customers, recording solely round 10,000 downloads on the Google Play app retailer. A survey performed by the Korea Info Society Improvement Institute launched in Might revealed that solely 4.2% of South Korean residents often use metaverse companies. The survey’s broad interpretation of what constitutes a “metaverse” platform included fashionable video games Minecraft, Roblox and Animal Crossing.Metaverse pioneer Meta, previously Fb, noticed its metaverse division Actuality Labs publish US$13.7 billion in losses. In February, ten Japanese corporations together with Fujitsu, Mitsubishi and Sumitomo Mitsui, agreed to ascertain the Japan Metaverse Financial Zone, a working group to spice up native metaverse infrastructure. The group has made no subsequent bulletins regarding the venture.In the meantime, China’s Ministry of Trade and Info Know-how stated Monday that it’s going to look to ascertain regulatory requirements for the metaverse with a view to turn out to be a world chief within the sector.Kakao and Com2uS have but to reply to Forkast’s e mail request for feedback despatched Friday.
See associated article: Crypto and Formulation One’s honeymoon is over, can Web3 save a rocky marriage?