It’s the huge growth area for the fashion industry - and you’ll never guess where it’s all happening
Ric Edelman: It's Tuesday, June 20th. All last week and all this week, we're talking about the biggest tech of all video games. If you've missed any of this, I encourage you to listen to the shows. You've missed the links to them all for the past week are in today's show notes. Video games are now so big that we're not just seeing people play video games and watch video games. They are now also creating their own video games.
On Roblox, you can create your own. 60 million people play games in Roblox every day. The company generated $2 billion in sales of in-game items last year. We're talking about clothing that your avatar wears, skills, tools, weapons that you need to succeed in these games. During Covid. Roblox said three quarters of 9-to-12 year old’s were on its platform.
Minecraft has 120 million monthly players. Game creators earn $600 million a year collectively, and as you would expect, big brands are involved. But so is the kid in the basement. Homemade content. It's encouraged by game platforms. Players can make their own designs and customize others. When you create a game, you work hard to recruit players to play the game you've just created, and that makes it viral. Player versus player games are the best way to gain traction. You play against your friends; you play with your friends instead of just the online villain in the game.
And artificial intelligence is making it even easier for people to create their own games with generative AI like ChatGPT. You don't need to learn how to code. You just tell the game what it is you want it to do for you. That's how it works at Roblox. You create a game just by telling it what you want. Type in, ‘make it rain’. You don't need coding skills anymore. All you need is an imagination.
Microsoft is using a voice activated AI assistant. Not only do you not have to code, you don't even have to know how to type. You just tell Minecraft what you want it to build for you and it builds it. Apple is working on the technology too. User-made content is rapidly growing. People want a sense of ownership and you don't get that from watching TV. You can get it from gaming.
You think you're not going to spend your life in the future living in the metaverse when the metaverse is of your own design, you are absolutely going to want to live there. Where if not the metaverse you built, the metaverse built by your grandchild.
Gaming. Undeniably one of the biggest things coming in tech. If you want a little bit of an opportunity to add video game technology and companies in that industry into your diversified portfolio. Take a look at the Global X Virtual Gaming and Esports ETF. The symbol is HERO. You can learn about that at Global X ETFs.com or by talking to your financial advisor.