The metaverse may not be as well talked about as when it first entered the mainstream conversation - ie when Mark Zuckerberg rebranded Facebook - yet it still exists.
Being an emerging technology, however, it has been somewhat overshadowed by the much more obviously applicable AI, which has gone on to become the zeitgeist.
Whether they are using a function specific metaverse, or are applying their programmes onto a general metaverse, it serves a purpose for those who use it.
This boom in AI has actually gone on to augment the abilities of it, making it more crucial for those users.
Therefore, AI Magazine takes a look at 10 of the ways AI has augmented the metaverse and how it can improve those already using it.
10. Regulatory compliance and risk management
As business activities in the metaverse increase in complexity and scale, AI becomes essential for ensuring regulatory compliance and managing risks.
AI systems can continuously monitor metaverse transactions and interactions to ensure they comply with relevant regulations, which may vary across different virtual jurisdictions.
For financial institutions operating in the metaverse, AI can detect suspicious activities, prevent money laundering, and ensure adherence to know-your-customer (KYC) regulations.
In legal applications, for instance, Barbados’ planned virtual embassy, AI can safeguard patient data privacy and ensure compliance with regulations through algorithms that allow data minimisation or monitoring of files.
For global businesses, AI can navigate the complex landscape of international data protection laws, adjusting data handling practices in real-time based on user location and applicable regulations.
Additionally, AI risk management systems can identify potential reputational risks, security vulnerabilities, or legal liabilities in metaverse operations, allowing businesses to proactively address issues before they escalate.
9. Virtual real estate development and management
The concept of virtual real estate in the metaverse is creating new opportunities for businesses, with AI playing a crucial role in its development and management.
AI algorithms can analyse user traffic patterns, engagement levels, and transaction data to identify prime locations for virtual storefronts or advertising spaces.
For virtual property developers, AI can assist in designing appealing and functional spaces that maximise user engagement and monetization potential.
In managing these virtual properties, AI can automate maintenance tasks, adjust layouts based on user behaviour, and even predict future value based on metaverse activity trends.
For businesses looking to establish a presence in the metaverse, AI can help optimise their virtual real estate strategy, balancing factors like foot traffic, proximity to complementary businesses, and target demographic presence.
8. Language translation
AI is transforming communication within the metaverse, breaking down language barriers and enhancing user interactions.
AI-powered real-time translation enables seamless global communication, fostering connections across diverse linguistic backgrounds.
This would prove valuable for a multinational company who work together on a design project on the metaverse, as thanks to real time translation abilities, they would actually be able to work better together on the metaverse than they would in person.
Simultaneously, AI-driven natural language processing is transforming how users engage with the metaverse environment. Voice commands and gesture recognition, powered by sophisticated AI models, allow for intuitive interaction with virtual objects and avatars. This advancement not only enhances user experience but also opens new avenues for accessibility, enabling more natural and immersive participation in the metaverse.
7. Blockchain-powered smart contracts and transactions
The integration of AI, blockchain, and metaverse technologies is revolutionising business transactions and contract management.
AI-facilitated smart contracts in the metaverse can automate and secure complex business processes, reducing fraud and streamlining operations.
For example, in real estate, property transactions can be executed instantly and securely in the metaverse, with AI verifying identities, checking property records, and ensuring regulatory compliance.
In the entertainment industry, AI can manage royalty distributions for virtual performances, ensuring fair and transparent payments.
For international trade, smart contracts can automate customs clearance, tax calculations, and payments, significantly reducing paperwork and processing times.
As the metaverse economy grows, AI-powered blockchain solutions will become increasingly crucial for managing digital assets, intellectual property rights, and cross-border transactions.
This technology not only increases efficiency and reduces costs but also opens up new business models and revenue streams in the virtual economy.
6. Enhanced market research and consumer insights
AI-driven analysis of user behaviour in metaverse environments offers businesses unprecedented depth and breadth of consumer insights.
Unlike traditional market research methods, metaverse interactions provide real-time, unbiased data on how consumers engage with products, spaces, and experiences.
AI algorithms can process this vast amount of data to identify patterns, preferences, and emerging trends that might be invisible to human analysts.
For example, a fashion retailer could analyse how avatars interact with virtual clothing items, informing decisions on real-world product development and marketing strategies. In the entertainment industry, producers could use AI to analyse audience reactions to virtual content, helping to predict the success of future releases.
This continuous, immersive form of market research enables businesses to stay ahead of consumer trends, tailor their offerings more effectively, and make data-driven decisions across all aspects of their operations, from product development to marketing and customer service.
5. Virtual product development and testing
AI-powered virtual product development in the metaverse is transforming R&D processes across industries.
By creating detailed, interactive 3D models, businesses can rapidly prototype and test products in virtual environments, significantly reducing time-to-market and development costs.
For automotive companies, this means simulating crash tests, aerodynamics, and user experiences without building physical prototypes.
In the pharmaceutical industry, AI can model drug interactions and efficacy in virtual human bodies, potentially accelerating drug discovery.
Consumer goods companies can test packaging designs and product usability with virtual focus groups, gathering instant feedback and iterating quickly.
The metaverse also enables collaborative design processes, where teams from different locations can work together on virtual prototypes in real-time. As AI continues to improve, these virtual testing environments will become increasingly sophisticated, potentially revolutionising how products are conceived, developed, and brought to market.
4. Supply chain visualisation and optimisation
The convergence of AI and metaverse technology revolutionises supply chain management by creating immersive, 3D visualisations of entire supply networks. This enhanced visibility allows businesses to track products from raw materials to end consumers in real-time, identifying bottlenecks and inefficiencies that were previously hidden.
AI algorithms analyse this complex data to predict potential disruptions, such as supplier issues or transportation delays, enabling proactive risk management. The metaverse environment facilitates collaborative problem-solving, allowing stakeholders from different geographic locations to interact with the supply chain model simultaneously.
AI can simulate various scenarios, helping businesses optimise inventory levels, reduce waste, and improve sustainability. This technology is particularly valuable for industries with complex, global supply chains, such as automotive, electronics, and fast-moving consumer goods, where even small improvements can lead to significant cost savings and increased resilience.
3. Customer experience personalisation
AI-driven personalisation in metaverse retail spaces offers unprecedented opportunities for businesses to enhance customer engagement and boost sales.
By analysing vast amounts of user data - including browsing history, purchase patterns, and real-time behaviour in the virtual environment - AI can create hyper-personalised shopping experiences.
Virtual stores can dynamically adjust their layout, product placement, and even ambiance to suit individual preferences. AI-powered virtual assistants can provide tailored product recommendations, answer queries in natural language, and guide customers through complex purchasing decisions.
This level of personalisation extends beyond just product selection; AI can customise pricing strategies, loyalty programs, and promotional offers in real-time, maximising conversion rates and customer lifetime value.
If e-commerce evolves into v-commerce (virtual commerce) following the push from tech titans like Apple with its new AR, businesses that leverage AI for personalisation will gain a significant competitive edge.
2. Virtual workforce training and collaboration
AI-driven virtual training environments in the metaverse transform how businesses upskill their workforce and facilitate collaboration.
These immersive, adaptive spaces allow employees to practise complex procedures or operate dangerous equipment in safe, realistic simulations.
AI tailors the training experience to each individual's learning style and pace, dramatically improving knowledge retention and skill acquisition.
For global corporations, the metaverse enables seamless remote collaboration, with AI assistants facilitating multilingual communication, managing project timelines, and even generating meeting summaries.
This technology not only reduces travel costs but also fosters a more inclusive work environment where geography is no longer a barrier.
As businesses continue to embrace remote and hybrid work models, AI-powered metaverse solutions will become crucial for maintaining productivity, innovation, and team cohesion.
1. Digital twin optimisation
AI-powered digital twins in the metaverse revolutionise business operations across industries. By creating virtual replicas of products, processes, or entire systems, companies can monitor, analyse, and optimise in real-time without physical limitations.
For manufacturers, this means predicting equipment failures before they occur, reducing downtime, and optimising production lines. In urban planning, digital twins of cities can simulate traffic patterns, energy consumption, and emergency responses, leading to smarter, more efficient urban environments.
The combination of AI and metaverse technology allows businesses to run countless simulations, identify inefficiencies, and implement improvements with minimal risk, ultimately driving innovation and competitive advantage.
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