Continuous evolution of information and communication technologies (ICT) has significantly driven digitalization of conventional business processes and the Internet of Things (IoT) concept in business. The competitive engagement of firms with virtual technologies tends to unveil new business models (BMs) within hybrid environments. This phenomenon has extensively contributed to the continuous growth of the new business economy in a hybrid environment. Such business impetus is developed around the so-called metaverses. In the cyber-physical ecosystem, BMs have been developed as a combination of physical- and virtual-world mechanisms that help in developing social and economic values. Reviewing changing technological perspectives, Artificial Intelligence (AI) is often considered the ‘fifth wave’ of computing, signifying a major transformative technological advancement that is currently shaping various industries and aspects of life, characterized by autonomous AI systems capable of operating independently in complex environments. Economic creation and value capture at the crossroads of physical and virtual economies today are enabled through the cyber revolution comprising AI, AR, VR, and metaverse. BMs based on digital technologies and within hybrid environments are becoming increasingly popular to facilitate innovative products and services offerings, collaborations, and transactions through new interaction modalities within community-based and crowd-based contexts. Therefore, virtual BMs are challenging and innovating the traditional market dynamics which not only augments profit, but also helps in managing unforeseen business conditions. Consequently, firms implementing virtual business models have been successful in reducing the cost, time, and risk factors in business and enhancing market-oriented innovations in digital and virtual environments.