The metaverse is already an essential part of life, and 'we're in another huge cycle' says LinkedIn cofounder and venture capitalist Reid Hoffman

• LinkedIn cofounder Reid Hoffman said the internet was merely an early version of the metaverse.
• He told CNBC Monday that "there's going to be a ton of investment in" the metaverse.
• The concept of the metaverse, the next phase of the internet, is still loosely defined.

LinkedIn cofounder Reid Hoffman told CNBC Monday that the metaverse is already here.

Hoffman, who is also a partner at Silicon Valley venture capital firm Greylock, said the metaverse has been around for a while, with the internet being an "early version" of it.

"We're already in it; it's already evolving, and it's already an essential part of our lives," he told CNBC.

He said the "interesting question" is when the metaverse — which is now shorthand for the virtual world where people interact — becomes more akin to science fiction like the famed "Ready Player One" novel and film, where characters have immersive virtual experiences. Take going to a metaverse concert, for example, he said.

"There's going to be a ton of investment in" the metaverse, Hoffman said on CNBC. "I think we're in another huge cycle."

The concept of the metaverse shot into the mainstream recently when Facebook's parent company rebranded to Meta Platforms, in a sign of its move into the future internet also commonly referred to as Web3.

Hoffman said Meta is one of the drivers behind metaverse hype, but other use cases beyond just communications, which Facebook is known for, will likely arise first.

The definition of the metaverse still remains a loose one. Some, especially crypto enthusiasts, have argued it is a decentralized virtual place where people are in charge, not tech giants as in the current internet. Meanwhile, behemoths like Meta are jumping into the space to take their share.

Other people remain skeptical in general. Sunday, Tesla chief Elon Musk tweeted Web3 is more of a "marketing buzzword" than a reality right now.