Lego Invests in Metaverse with Epic Video games to Develop Past Conventional Toy Market

Lego, the famend Danish toy producer recognized worldwide for its vibrant plastic blocks, has set its sights on broadening its leisure choices into new digital markets. The corporate remains to be planning to develop into the metaverse and is partnering with Epic Video games, the gaming engine firm, to launch a digital world.

Fortnite creator, Epic Video games, introduced a partnership with Lego in April final 12 months. The 2 firms set plans to construct a family-friendly metaverse for kids to get pleasure from “an immersive, creatively inspiring, and fascinating digital expertise.” The identical month, Lego and Sony invested $2 billion into Epic Video games for the metaverse platform’s creation that would offer a safe digital area for youths, bringing them nearer to the model.

“We’re doing quite a lot of issues on the digital facet. That’s the place we’re upping the funding. We all know very effectively the right way to immerse shoppers into the Lego universe in shops. We’re working very laborious to create that feeling of moving into the Lego model universe additionally digitally,”

Lego CEO Niels Christiansen informed the Monetary Instances.

In 2022, Lego’s revenues elevated by 17% to $9.3 billion, and their web income grew by 4% to $2 billion, despite the fact that they confronted challenges from elevated bills for uncooked supplies, vitality, and transportation, FT reported.

Based on FT, Lego can also be establishing new factories in Vietnam and the US by 2024 and 2025, respectively, to reap the benefits of progress alternatives exterior of Europe. The corporate has elevated its variety of Lego shops to 904 after it opened 155 shops final 12 months. 

Many toy manufacturers are dealing with challenges in attracting youngsters away from digital units. With the growing use of know-how and the provision of digital video games, youngsters spend extra time on screens than ever earlier than. This development has affected the normal toy business, making it more durable for firms to promote bodily toys and video games. Because of this, toy manufacturers like Lego are exploring new methods, similar to creating new merchandise, together with the metaverse, to stay aggressive and interact with youngsters who’re enticed to digital units.

Learn extra: