In October 2022, Microsoft launched its Industrial Metaverse Core team, also known as Project Bonsai, to develop the metaverse for industrial use.
The project was focused on utilizing digital technologies and artificial intelligence to optimize physical goods, processes, assets, equipment, and places. This initiative aimed to encourage industrial customers to interact with the metaverse. However, after four months, Microsoft has decided to discontinue Project Bonsai and lay off the team of about 100 employees.
Reasons for Discontinuation
The reason behind the discontinuation of Project Bonsai is to prioritize shorter-term projects that generate revenue. The layoffs of 10,000 workers announced by Microsoft CEO, Satya Nadella earlier this month, are part of this plan. Furthermore, the company is facing macroeconomic uncertainty and slowing growth due to the global stock market rout and fears of an economic downturn.
According to a report by The Information, Microsoft is now prioritizing the areas of the industrial metaverse that matter most to its customers. The company’s spokesperson confirmed that Microsoft remains committed to the industrial metaverse and industrial customers will not see any changes in how they are supported. The spokesperson also mentioned that the company would share additional information about its plans for the industrial metaverse in the future.
Industrial Metaverse – An Overview
The metaverse is a shared, immersive online 3D space that enables users to interact with each other and computer-generated objects and avatars. Major technology companies, including Microsoft and Meta Platforms, have shown interest in developing the metaverse.
The concept of the industrial metaverse involves the use of immersive and interactive virtual environments to enhance the management, design, and production of industrial products and services. It also includes the use of AI and digital technologies to optimize physical goods, processes, assets, equipment, and places.
Industrial companies can use the industrial metaverse to simulate and test new products and equipment, optimize production processes, and train employees. The metaverse can also improve collaboration and communication among remote teams by creating virtual workspaces where employees can interact with each other and work on projects together.
Impact of Microsoft’s Decision
The discontinuation of Project Bonsai could impact Microsoft’s presence in the industrial metaverse. The company already had major customers in this space, including Mercedes Benz and Coca-Cola. This decision could also affect the growth and development of the industrial metaverse, as Microsoft’s Project Bonsai aimed to build the components that industrial customers could use.
Moreover, this is not the first time that Microsoft has discontinued projects related to the mixed reality space. The company recently ended its AltspaceVR meeting solution for avatars and eliminated its entire team that was building its Mixed Reality Toolkit. Although Microsoft has given assurances that it remains committed to continuing some of its mixed-reality products, including Microsoft Mesh and the HoloLens 2 headset, the discontinuation of Project Bonsai raises concerns about the company’s long-term commitment to the industrial metaverse.
The Future of Industrial Metaverse
While the recent news of Microsoft discontinuing its Industrial Metaverse team may seem like a setback for the development of the technology, it is unlikely to affect the progress of the metaverse in industrial environments. Major players like Meta Platforms, Google, and Nvidia are heavily investing in the technology and are likely to drive innovation and adoption forward.
The metaverse has the potential to revolutionize the way industrial processes are carried out by enabling real-time monitoring and optimization of equipment and processes. The use of AI and digital technologies will allow for predictive maintenance, remote management, and optimization of the production process, ultimately resulting in reduced costs and increased efficiency.
While the concept is still in its early stages, the metaverse has already found use cases in industries like retail, finance, and energy. It has also been used to recreate entire cities and environments, allowing people to experience and interact with them in new and immersive ways.
As technology advances, the metaverse is likely to become an integral part of the industrial landscape. It will enable companies to optimize their operations, reduce costs, and improve safety, ultimately leading to better products and services for consumers.
Conclusion
The recent news of Microsoft discontinuing its Industrial Metaverse team may seem like a setback for the development of the technology. However, it is unlikely to affect the progress of the metaverse in industrial environments. Major players like Meta Platforms, Google, and Nvidia are heavily investing in the technology and are likely to drive innovation and adoption forward.
The metaverse has the potential to revolutionize the way industrial processes are carried out by enabling real-time monitoring and optimization of equipment and processes. The use of AI and digital technologies will allow for predictive maintenance, remote management, and optimization of the production process, ultimately resulting in reduced costs and increased efficiency.
As technology advances, the metaverse is likely to become an integral part of the industrial landscape. It will enable companies to optimize their operations, reduce costs, and improve safety, ultimately leading to better products and services for consumers.