Sony Wants To Be A Leading Role In The Development Of The Metaverse Through Game Products

JAKARTA - Japanese technology conglomerate Sony Group Corp. has announced that it is now well positioned to play a major role in the metaverse, or immersive virtual world. This metaverse is called by many observers who speculate it will massively disrupt industry and build new power plants.

Metaverse is a vague term that encapsulates the idea that consumers will spend more time in online simulated environments. While the concept continues to evolve, it has become a buzzword in briefings and a driver of industry deal-making.

"The metaverse is at the same time a social space and a live networking space where games, music, movies and anime intersect," Sony Chief Executive Kenichiro Yoshida said at a strategy briefing on Wednesday, May 18. Sony points to using the free-to-play battle royale of Epic Games' Fortnite as an online social space.

Sony's games, music and film units accounted for two-thirds of operating revenue in the financial year ending March. This underscores the group's transformation from a consumer electronics device maker to a metaverse-ready entertainment giant under Yoshida and his predecessor Kazuo Hirai.

This company is the gatekeeper of gaming with its PlayStation 5 console. But observers point to the risks posed by the growth of cross-platform, cloud-based titles and their potential to reduce the influence of proprietary platforms.

Sony has adjusted its approach, enabling cross-play in Fortnite in 2018. This week, Epic said the in-game "V-Bucks" currency purchased on PlayStation will be able to be used on other platforms.

"PlayStation has played a huge role in the social gaming revolution nurturing the growth of the metaverse as a new entertainment medium," said Epic CEO Tim Sweeney on Twitter.

Sony has also taken steps to expand its focus on single-player titles such as "Spider-Man: Miles Morales", with a deal announced in January to buy Bungie, the developer of the online multiplayer shooter "Destiny".

"We believe this will be a catalyst for increasing our live service gaming capabilities... (This) is a big step forward to becoming multi-platform," Yoshida said, as quoted by Reuters.

Sony has licensed its content to other platforms, taking advantage of the value for content streamers such as the popular US sitcom "Seinfeld". Although the company owns the anime streaming service Crunchyroll, it's not pushing as aggressively to operate its own video platform as rival Walt Disney Co with its Disney+ service.

Beyond the metaverse, Yoshida also stakes out Sony's claims in mobility. They together with conglomerate Honda Motor Co Ltd are also developing future electric vehicles. “Sony created a new lifestyle in 1979 with the launch of the Walkman,” said Yoshida, who claims that Sony had created a worldwide trend.

"We aim to transform the mobility space into a new entertainment space... We believe mobility will be the next megatrend," he said.