SUKRITI MAHAJAN

FT’24 MBA

Meta: Facebook's Pivot to the Metaverse – A

Path to Dystopia orBlue Ocean Utopia?

1. Is Meta’s metaverse on track to offer a leap in value to users, or is it a technological

innovation that won’t deliver substantial value? Explain your thinking.

It is not definitive whether Meta's metaverse will offer a leap in value to users or deliver
substantial value.
The concept of a metaverse, where individuals can seamlessly interact with a virtual world,
holds promise for various applications such as entertainment, education, communication,
and commerce. It has the potential to enhance social connections, enable immersive
experiences, and unlock new economic opportunities.
There are concerns around potential negative effects on physical and mental health due to
excessive screen use, sedentary lifestyle, and a disconnect from nature. These concerns
highlight the importance of maintaining a balance between digital experiences and real-
world interactions, which could potentially limit the value proposition of the metaverse.
Additionally, the questions about Meta's trustworthiness in handling user data, privacy, and
control over the metaverse. The potential concentration of power and the ability to exclude
individuals or groups from the metaverse could create conflicts and trust issues. These
factors may hinder the metaverse's ability to deliver substantial value and raise doubts
about Meta's ability to address these challenges effectively.
However, it's worth noting that the metaverse concept holds potential for transformative
experiences, innovative applications, and enhanced social interactions. If Meta can address
the concerns raised above and prioritize user safety, privacy, and well-being, while ensuring
inclusivity and considering the impact on physical and mental health, there is a possibility
that the metaverse could deliver significant value to users. The success of the metaverse will
depend on the implementation, adoption, and Meta's commitment to addressing these
challenges and building trust with users and society.

This study source was downloaded by 100000852854207 from CourseHero.com on 11-19-2023 03:07:29 GMT -06:00

https://www.coursehero.com/file/207622377/Meta-Answerspdf/
 SUKRITI MAHAJAN
FT’24 MBA

2. Meta’s vision has social, economic, and environmental implications. Enumerate what
you see as the strengths and weaknesses of the metaverse along these dimensions. How
can concerns be addressed?

Meta's vision of the metaverse has significant social, economic, and environmental
implications. Here are some strengths and weaknesses across these dimensions:

Social Implications:
Strengths:
1. Connectivity and Collaboration: The metaverse can facilitate enhanced connectivity and
collaboration, enabling people from different geographical locations to interact, socialize,
and work together in virtual environments.
2. Access to Education and Opportunities: The metaverse has the potential to provide access
to educational resources, skills training, and job opportunities to individuals who may not
have had access otherwise.
3. Diversity and Inclusivity: The metaverse can create spaces that are more inclusive and
diverse, allowing individuals to express themselves, explore identities, and connect with
communities that may not be available in their physical surroundings.

Weaknesses:
1. Digital Divide: The metaverse could deepen existing inequalities if access to the necessary
technology and internet connectivity is limited to certain populations. Efforts should be
made to bridge the digital divide and ensure equitable access to the metaverse.
2. Escapism and Isolation: Excessive reliance on the metaverse could lead to social isolation,
detachment from the physical world, and escapism. Balancing virtual interactions with real-
world connections is crucial to maintain healthy social dynamics.
3. Privacy and Security: The metaverse raises concerns about privacy and security, as users'
personal data and interactions are collected and stored. Robust privacy measures and user
control over data sharing should be implemented to address these concerns.

Economic Implications:
Strengths:
1. New Market Opportunities: The metaverse can create new economic sectors, job
opportunities, and revenue streams for developers, content creators, and businesses
operating within the virtual environment.
2. Virtual Commerce: The metaverse enables virtual commerce, offering a platform for
buying, selling, and trading virtual goods and services. This can lead to economic growth and
innovation.

This study source was downloaded by 100000852854207 from CourseHero.com on 11-19-2023 03:07:29 GMT -06:00

https://www.coursehero.com/file/207622377/Meta-Answerspdf/
 SUKRITI MAHAJAN
FT’24 MBA

3. Digital Entrepreneurship: The metaverse can empower individuals to become digital

entrepreneurs, leveraging their skills and creativity to monetize virtual experiences and
products.

Weaknesses:
1. Economic Disruption: The metaverse may disrupt existing industries and job markets,
potentially leading to job displacement and economic inequalities. Supporting retraining
programs and creating transitional opportunities will be crucial to address these challenges.
2. Monetization and Exploitation: The metaverse could be susceptible to exploitative
practices, such as predatory microtransactions, pay-to-win models, or unfair monetization
schemes. Implementing ethical business practices and consumer protections is necessary to
prevent exploitation.
3. Economic Concentration: The metaverse's success could lead to concentration of
economic power in the hands of a few dominant entities. Ensuring fair competition,
promoting open standards, and preventing monopolistic practices would be important for a
diverse and competitive metaverse ecosystem.

Environmental Implications:
Strengths:
1. Reduced Physical Footprint: The metaverse has the potential to reduce the need for
physical infrastructure and travel, leading to lower carbon emissions and environmental
impact.
2. Sustainable Virtual Goods: Virtual goods and experiences within the metaverse can be
created and consumed without depleting natural resources or generating waste.
3. Environmental Awareness: The metaverse can be utilized to raise environmental
awareness, educate users about sustainability, and promote eco-friendly practices.

Weaknesses:
1. Energy Consumption: The metaverse requires significant computing power, which can
lead to increased energy consumption and contribute to carbon emissions. Investing in
energy-efficient technologies and utilizing renewable energy sources can help mitigate this
impact.
2. E-waste: The rapid development and turnover of virtual technologies could lead to
increased electronic waste. Implementing recycling programs and promoting sustainable
product design can address this concern.
3. Digital Overconsumption: Excessive use and reliance on the metaverse may result in
increased energy consumption and electronic waste. Promoting mindful and responsible

This study source was downloaded by 100000852854207 from CourseHero.com on 11-19-2023 03:07:29 GMT -06:00

https://www.coursehero.com/file/207622377/Meta-Answerspdf/
 SUKRITI MAHAJAN
FT’24 MBA

usage patterns can help minimize these

3. If Meta realizes its vision of creating one enormous metaverse, are there safety issues
on with one business holding this much control? How could this be mitigated?

If Meta realizes its vision of creating one enormous metaverse, there could be safety issues
associated with a single business holding such significant control. Concentrated power and
control in the hands of one entity raise concerns about potential abuses and lack of
competition. Some of the potential safety issues that may arise include:

1. Privacy and data protection: Meta (formerly Facebook) has faced privacy issues in the
past. If they have complete control over the metaverse, there could be concerns about the
collection, use, and misuse of personal data. Safeguards would be needed to ensure user
privacy and protect sensitive information.

2. Monopolistic practices: If Meta becomes the dominant player in the metaverse, there
could be concerns about anti-competitive behaviour. They could potentially dictate the
terms of access, pricing, and content distribution, limiting consumer choice and stifling
innovation. This could lead to a lack of diversity and alternative options for users.

3. Censorship and content control: With significant control over the metaverse, Meta could
potentially exercise censorship or control over the content and experiences available. This
could restrict freedom of expression and limit access to diverse viewpoints and ideas. There
is a risk that Meta's policies or biases could shape the metaverse in a way that aligns with
their interests, potentially excluding or marginalizing certain groups or perspectives.

To mitigate these safety issues, several measures could be considered:

1. Government regulation: Government bodies could introduce regulations and oversight to

ensure fair competition, data protection, and user privacy within the metaverse. Regulatory
frameworks could set guidelines for content moderation, data handling practices, and
antitrust measures to prevent monopolistic behaviour.

2. Interoperability and open standards: Encouraging interoperability and open standards

across the metaverse could help prevent a single entity from monopolizing control. This
would allow users to move between different platforms and ensure competition and
innovation thrive within the metaverse ecosystem.

3. Decentralization and distributed governance: Promoting a decentralized model with

multiple stakeholders involved in decision-making could mitigate the concentration of
power. This could involve a collaborative approach where industry players, user
representatives, and independent organizations contribute to the governance and
regulation of the metaverse.

This study source was downloaded by 100000852854207 from CourseHero.com on 11-19-2023 03:07:29 GMT -06:00

https://www.coursehero.com/file/207622377/Meta-Answerspdf/
 SUKRITI MAHAJAN
FT’24 MBA

4. User empowerment and consent: Putting control in the hands of users and ensuring
transparent practices for data collection and usage can help protect privacy. Providing users
with granular control over their personal data and empowering them to make informed
choices about their participation in the metaverse would be essential.

It's important to note that the approach to mitigating safety issues in a future metaverse
will likely require a combination of regulatory measures, industry collaboration, and user-
centric design. Striking a balance between innovation, competition, privacy, and user
protection will be key to ensuring a safe and inclusive metaverse experience. Additionally,
regulatory oversight and antitrust measures may be necessary to ensure fair market
conditions and prevent abuses of power.

4. Matthew Ball argues that it is developers who will control the metaverse, the digital
creators who will build what Meta hopes to be a new market space that is a win for both
society and customers. Do you agree? Why or why not?

Matthew Ball argues that developers will play a crucial role in shaping and controlling the
metaverse. He suggests that developers are the ones who will determine the success of the
metaverse and that better opportunities and profitability for developers will ultimately drive
the growth and adoption of the metaverse.

Whether or not one agrees with this perspective depends on various factors and
considerations. Here are a few points to consider:

1. Influence of developers: Developers have historically played a significant role in shaping

technological platforms and ecosystems. Their creativity, innovation, and ability to create
compelling experiences can drive user adoption and engagement. In the case of the
metaverse, developers can create virtual worlds, applications, and experiences that attract
users and contribute to the overall value of the metaverse.

2. Economic incentives: Developers are motivated by economic opportunities. If the

metaverse provides a favourable environment for developers to monetize their creations
and generate profits, it is likely to attract a talented developer community. Better
profitability for developers can lead to increased investment, innovation, and a vibrant
ecosystem within the metaverse.

3. Competition and collaboration: While developers are essential, it is also important to

consider the role of collaboration and competition within the metaverse. The metaverse is
likely to involve multiple companies, platforms, and stakeholders, each contributing their

This study source was downloaded by 100000852854207 from CourseHero.com on 11-19-2023 03:07:29 GMT -06:00

https://www.coursehero.com/file/207622377/Meta-Answerspdf/
 SUKRITI MAHAJAN
FT’24 MBA

own unique offerings. Collaboration among developers and partnerships between

companies can foster a diverse and rich metaverse ecosystem. It is not solely dependent on
developers but also relies on a broader ecosystem to thrive.

4. User adoption and demand: Ultimately, the success of the metaverse depends on user
adoption and demand. Developers can contribute to creating engaging experiences, but it is
important to align those experiences with the preferences and needs of users. User-centric
design and understanding user behaviour will be crucial to drive widespread adoption and
long-term value creation within the metaverse.

In summary, while developers are expected to play a significant role in the metaverse, their
influence alone might not be the sole determinant of success. The extent of control may
also depend on the governance framework and the balance of power between developers,
platform operators like Meta, and other stakeholders. The metaverse's viability and value
will depend on a combination of factors, including user adoption, collaboration between
stakeholders, economic incentives for developers, and the ability to meet societal and
customer demands.

5. If Meta is committed to using less data for targeted advertising, what might be its
business model?

If Meta is committed to using less data for targeted advertising, it might explore alternative
business models. These could include:
- Subscription-based services: Meta could offer premium subscriptions that provide
enhanced features, exclusive content, or ad-free experiences.
-Virtual goods and digital assets: Meta could monetize the metaverse by allowing users to
purchase virtual items, avatars, or in-game assets.
- Licensing and partnerships: Meta could collaborate with other businesses to license their
intellectual property or integrate branded content within the metaverse.
- Service fees and commissions: Meta could charge fees for transactions, virtual property
rentals, or service provision within the metaverse.
- Sponsorships and advertising diversification: Instead of relying solely on targeted
advertising, Meta could explore sponsorships, product placements, or contextual advertising
that respects user privacy and preferences.
By diversifying its revenue streams and exploring ethical advertising practices, Meta can
build a sustainable business model that aligns with its commitment to using less data for
targeted advertising.

This study source was downloaded by 100000852854207 from CourseHero.com on 11-19-2023 03:07:29 GMT -06:00

https://www.coursehero.com/file/207622377/Meta-Answerspdf/
Powered by TCPDF (www.tcpdf.org)