Metaverse has become the new buzzword after Facebook (NASDAQ:FB) recently rebranded itself as a metaverse pioneer. Analysts expect the metaverse market to grow considerably in the near term. And Morgan Stanley (NYSE:MS) thinks it will be the ‘next big investment theme.’ Given these sentiments, tech giants Microsoft (MSFT) and Meta (FB) might be profitable bets. Read on.Tech giants are investing heftily to develop metaverse platforms, given its wide-ranging applications. The metaverse concept encompasses virtual reality (VR) and augmented reality (AG) technologies. Financial services company Jefferies (NYSE:JEF) Group has predicted metaverse will be the biggest disruption in the coming years, akin to the internet in its early days.
Companies and investors are warming to the idea of the metaverse, and investment bank Morgan Stanley (MS) even predicts it will be ‘the next big investment theme.’ The global metaverse market is expected to reach $872.35 billion in 2028 and register a 44.1% CAGR.
Therefore, the fundamentally sound stocks of Microsoft Corporation (NASDAQ:MSFT) and Meta Platforms, Inc. (FB) might be ideal bets. FB has made substantial investments in VR, while MSFT already uses extended reality (XR) applications in its Microsoft Mesh platform.