What is a simulated environment where multiple users can interact in real time?

A simulated environment where multiple users can interact in real time is best described as a virtual world. Virtual worlds are immersive environments that are often created using computer-generated graphics and can facilitate interaction among users through avatars or representatives of themselves. These environments typically allow users to communicate, collaborate, and engage in activities together, making real-time interaction a defining feature.

In a virtual world, users can create and manipulate their surroundings, participate in social interactions, and sometimes even create content themselves. This level of interactivity and immersion is what sets virtual worlds apart from other concepts.

Although augmented reality combines digital elements with the real world, it does not typically support the same level of social interaction in a fully immersive, simulated space. A 3D environment refers to the spatial aspect of visualizing three-dimensional objects but does not necessarily imply real-time user interaction. An interactive space can refer to a physical or digital area designed for user engagement but lacks the specific context of a virtual world that facilitates multi-user interaction in real-time.