Virtual World, Real Money 128
BusinessWeek's cover story for May 1st has to do with a little place called Second Life. BusinessWeek Online has several stories related to their exploration on online living. My Virtual Life is a first-time exploration of Second Life, with some examination of the property and financial aspects of the gameworld. It's Not All Fun and Games explores the serious side of virtual businesses, as they interview Ashne Chung (notable real estate baron) in a piece called Virtual Land, Real Money. Ed Castronova has his say in a more general article on virtual economies. Finally, for an outside perspective, the obligatory Terra Nova discussion is always useful.
I hereby (Score:5, Funny)
Re:I hereby (Score:4, Funny)
Re:I hereby (Score:3, Interesting)
It's then fun to watch him defend his position. Someone will follow this post with a relevant link.
Re:I hereby (Score:3, Informative)
And yet, oddly enough (Score:4, Interesting)
got a link for that? (Score:1)
Re:And yet, oddly enough (Score:1)
Re:And yet, oddly enough (Score:5, Informative)
If they stopped expanding their payroll they'd be in the black very quickly.
Re:And yet, oddly enough (Score:2)
Nope. Most people in Second Life don't make any money off of it. There are very few who make significant money there, and a mere smattering who can quit their day job to live off their virtual job. Linden Lab keeps changing the rules in SL to favor the businessfolks who are trying to make money in virtual businesses, but it's slow to build up an economy from scratch. And then there's the problem that when they shift
Re:And yet, oddly enough (Score:5, Interesting)
The problem with creating artificial communities of course is that what starts out as a fun exercise in anarchy quickly starts needing rules, just like its real counterpart. Otherwise, people start abusing the system. Multiplayer FPS quickly lose popularity when you've got a handful of people using cheats, and as the reporter found, it's kind of annoying when someone decides to build on top of the virtual property you bought. So you need systems to keep stuff in check, feedbacks like Slashdots moderation system, or something analogous. Of course, if it goes too far with the regulation and ordering, then you're right back where you started: a highly restrictive environment, which is what you went online to get away from.
Re:And yet, oddly enough (Score:4, Funny)
Dear Sir or Madam,
My name is Humbert Rumpledunk and I am a successful Real Estate Baron on Second (2nd) Life. Recently I sold property worth One Hundred Million Linden Dollars (L$100,000,000,000.00). However, because of a computer error, I am unable to withdraw the funds properly. If you ingame message me your user name, password, and bank information, I will send your account the money, withdraw it, and electronically transfer 90% to me, leaving you 10% (Ten Million Linden Dollars) as a fee for service. Your discretion is requested.
Re:And yet, oddly enough (Score:1)
Re:And yet, oddly enough (Score:1)
Of course, if it goes too far with the regulation and ordering, then you're right back where you started: which is what you went online to get away from.
No problem - Just go login to the over-regulated, mundane world of Second Life, turn on your virtual PC, & sign up here [thirdlife.com].
Re:And yet, oddly enough (Score:1)
Once money is involved, people have a vested interest in doing well within the game. This breeds creativity. Unfortunately, much of this creativity is used toward finding other ways of making money that are easier than actually working for it. This is human nature; it can't be avoided. Now there exist thousands of people trying to make real money in a virtual environment. This is scary.
It is scary because the virtual environment doesn't have the same controls that the real world has (Ph
Validity of the Model (Score:2)
This isn't really a valid analysis, since you're simply trying to inject "first life" rules into Second Life, and there's no logical reason for that. Sure, you can't starve to death, but you can very certainly deplete your bank account in the game, leaving yourself without the means to enjoy the game in many ways. The wo
Re:And yet, oddly enough (Score:1)
Re:And yet, oddly enough (Score:2)
Re:And yet, oddly enough (Score:1)
Re:And yet, oddly enough (Score:2)
Re:And yet, oddly enough (Score:5, Insightful)
Where exactly were you between 1997 and 2000?
jf
Re:And yet, oddly enough (Score:1)
Snowcrash (Score:5, Insightful)
Geek references (Score:1)
No, not really (Score:2)
Re:No, not really (Score:2)
The total number of people that've signed up is a bit over half a million. Yeah, still tiny. But still.
Anyway, the peak concurrency rate is about 6000 people. This is similar to a single shard of World of Warcraft. But consider that there are no "shards" in SL.
Finally, the community keeps poking Linden Labs to release actual user data, and they finally came out and said that there were 60,000 unique accounts that logged in at least once in the last 30 days. So a bit smaller than
Re:No, not really (Score:2, Funny)
hah! They should just call it furrylife. businessmen... lawl.
Re:No, not really (Score:2)
In the most recent Town Hall, Peter Linden remarked that they've almost hit 1,000,000 signups.
Since I can't afford to live in meatspace... (Score:4, Funny)
It's not what it's made out to be (Score:5, Informative)
The only people making income are the land barons who buy up huge sims (servers) then sell off the land. It's a lot of work to cut it up and sell - and the profits are small unless you do this large scale. To get that kind of scale you'll need 10's of thousands of dollars invested. There is already a land glut and the profits are hard to come by even with a lot of money to invest. Because of the land glut, the market is facing inflation. We're seeing over $300 second life dollars per $1 USD.
If you want to try your hand at developing land to run things like casinos, malls, etc. You will have to upgrade your account to a paid version. You then need to find some land to buy. The monthly fee on a fairly modest 16,000m plot of land is $75. The initial cost for that amount of land is around $300 - $400. Much of the main land has no rules besides "PG" and "R" rated areas. So people build horrible objects and structures. The more prims an object takes up, the more lag the area gets. Anyway, people have issues selling clothing, skins, etc. because there is no way to prevent others from stealing them directly from the local client's graphics cache or directly from video memory. People steal then resell other's work.
You also have to watch out for gotchas in the game. They have rules such as a user needing to belong to a group that owns the land, in order to set "Home" to that location. The problem is, if your land is owned by a group, and you sell the land, all members in that group get an EQUAL cut of the selling price of the land. This is not something they mention to you when you click SELL. So if you're selling a $500 USD plot of land and you get $4 back, you'll not be too happy. Calling SL's tech support will yeld such gems as "If you were planning on making a mistake, you should have called us up before you made the mistake and we'd be happy to help you"
I don't want to rant on too much about it - I haven't even gotten started on the negitives
Re:It's not what it's made out to be (Score:1)
Phht. Hardly. I've made over US$5k in SL in the last year by developing and marketing unique content. A few women have quit their day jobs and work from home, living on income made by virtual clothing sales in SL. There are infinite business opportunities there for the creative and hard-working.
The real value of SL is the opportunity to explore your creativity -- but the business end of things is abs
It's actually worse. (Score:2)
Re:It's actually worse. (Score:2)
This is downright scary. (Score:5, Insightful)
It's like this: (Score:2, Funny)
Re:This is downright scary. (Score:4, Insightful)
Re:This is downright scary. (Score:5, Interesting)
From a more pragmatic point of view: Imagine that you're working really hard to build a business in Second Life. You've spent hours doing so, and it's finally taken off. Now the publisher discontinues the world, or decides that it'll automatically take a 50% cut of your profits, or that it'll transfer your business to another character, etc. Maybe Taco Bell paid off the publisher and now all of your virtual products have a Taco Bell logo on them. Or maybe your computer dies, or you forget your password... Get my point?
If people are that malcontent slaving away for someone else that they have to start their own virtual business to regain a sense of control over their life, then they need to grow some balls and start their own real-life business. Sorry, but I have no respect for these Soma-addicts who prefer to play out thier lives within a safe, little, virtual sandbox. Every hour spent in their virtual life is an hour wasted of their real life.
Re:This is downright scary. (Score:4, Insightful)
Assuming you're doing it for the hell of it, it's fun, and thus doesn't feel like work. Your hobby soon sustains itself, and maybe gets you a few extra bucks on the side. If you really get into your hobby, it can make a sizable contribution to your income.
That's what most "businesses" in SL are; hobbyists who are passionate about their playtime making a few extra bucks on the side (that's me currently) The real big-money businesses are content teams doing contract work for real world firms (Wells-Fargo is one, for instance) to build prototypes and locations inworld for more RL business things. They're analogous to consultants in the real world. The economic benefits of consultants are best discussed another time.
Re:This is downright scary. (Score:2)
-nB
Man I wish that would really fly...
Re:This is downright scary. (Score:2)
Or maybe, just maybe, they are having FUN. Shockers.
Not everything is attached to a a moral imperative and not everyone is escaping some bad life. Sheesh. Lighten up.
Re:This is downright scary. (Score:1)
Why try to convince others? You live as you will, and others can waste their time and live to regret it when they are 80, or maybe not.
Re:This is downright scary. (Score:2)
Re:This is downright scary. (Score:1)
Now a giant rock crashes into earth killing everything, or your government becomes corrupt using weapons to control you so that they can take 50% of your in
Re:This is downright scary. (Score:1)
That sure would be scary, I hope that it never happens to.... oh wait!
Here are the top federal income tax brackets from http://en.wikipedia.org/wiki/Tax_bracket/ [wikipedia.org]:
US: 35%: $326,451 and above
UK: 40%: from £32,400 and above
NZ: 39% above $60,001
Canada: 29% above $118,285
Australia: 47%: $95,001 and above
Re:This is downright scary. (Score:1)
Re:This is downright scary. (Score:1)
Re:This is downright scary. (Score:2)
Allow me to play Devil's Advocate and explore your point (while ignoring the more practical side of the legal issues regarding virtual worlds).
As a scientifically minded person, I subscribe to the belief that what we consider "reality" is all a matter of perception. It is in essence what our brain tells us it is. Thus, in a
Re:This is downright scary. (Score:5, Interesting)
Nothing... I enjoy a little escapist fantasy myself, whether watching Star Trek or role-playing a dwarf with a big axe and a bigger beard. Nothing wrong there... Not productive, but at least entertaining.
But 2L satisfies neither the "escape" nor "fantasy" part of that. Just trading one mundane dog-eat-dog existance for another, without even the perk of entertainment. And you can't even call it an even trade, because while trudging along in "real life" might get you fed, sheltered, and offspring, no amount of success in Second Life will keep you alive and viable.
So yeah, I'd certainly call it scarily unhealthy that people will trade an unsatisfying life for an unsatisfying non-life...
Re:This is downright scary. (Score:4, Informative)
Some folks watch TV, I doodle around in a collaboritive building environment. To each their own.
Re:This is downright scary. (Score:1, Redundant)
Yes, but if Second Life sucks you could easily solve that by creating a network of virtual computers inside Second Life where the avatars could go
Re:This is downright scary. (Score:2)
Ah, yes, riding a gryphon to meet elven friends, making space cruisers appear out of thin air, hunting dinosaurs with meteorite rain spells and flying a Pelican Dropship over high tech physically-impossible buildings is just so mundane.
Re:This is downright scary. (Score:2)
Do you do those things IRL? Because, if 2L has them, their entire advertising team needs a good round of sulphuric acid enimas. Their web-site shows only an ego-graffiti-littered map that makes SC2000 look like high-quality rendering, with a ton of "events" that the foll
Re:This is downright scary. (Score:2)
On the other hand, I don't go there much except for spates of avatar-hacking, because my laptop doesn't run it too well, and the conversation UI is like a bad IRC client. I'd rather go to SL and make something myself than go to WoW and endlessly grind to make a few numbers increase on a server, though.
Re:This is downright scary. (Score:3, Insightful)
Re:This is downright scary. (Score:1)
Re:This is downright scary. (Score:1)
I'm speaking generally. There are always exceptions, but I think at most the virtual world should be a short vacation from life, not a replacement.
Re:This is downright scary. (Score:1)
If the player wants to 'keep running' that's up to them. My main concern is the obsession with making demands about how everyone should spend their limited life time when you have no relation to them.
You know what, if you care that much about other people, perhaps you should work on trying to make the real world a better place for them instead of just demanding that they stop. Otherwise lea
Re:This is downright scary. (Score:2)
Because we all know that multinationals have a monopoly on mindless and meaningless make-work
Holy shit, corporations are looking to tap into the desire to escape from the daily workplace? Somebody tell Nintendo!
Re:This is downright scary. (Score:2)
It provides a creative outlet for those who want to build something, but might not have formal training in art or computer programming. For those that do, it gives them a virtually global showcase of their talents, which can translate into some real-world not
What are you even talking about? (Score:1)
Or television?
Or radio?
Or novels?
Or theater?
If the desire of persons to temporarily escape reality to live in fantasy as embodied by Second Life represents a problem, it is a problem that has been going on for 15 / 75 / 110 / 408 / 2600 years.
Re:What are you even talking about? (Score:2)
I'm not sure why you would choose to express this in the form of a mathematical equation, but if it's only been going on for
Re:What are you even talking about? (Score:2)
I'm not sure why you would choose to express this in the form of a mathematical equation, but if it's only been going on for .054 seconds as you say, I don't really see what the problem is.
Dude, for a 3GHz processor, that's like 162 million cycles. Practically an eternity. Can you imagine doing anything 162 million times?
Re:What are you even talking about? (Score:2, Interesting)
You see.
Re:What are you even talking about? (Score:2)
-nB
Re:What are you even talking about? (Score:1)
Re:What are you even talking about? (Score:1)
Maybe they are trapped by... (Score:4, Funny)
Re:Maybe they are trapped by... (Score:2)
And yes, I do know what it is like virtually and IRL
Re:This is downright scary. (Score:2)
It's "glossed over" in TFA because it's a non-starter. People have been escaping from reality ever since there's been escapes from reality - which means forever. Even daydreaming is an escape from reality. Then there was booze, probably in the form of rotting fruit. Sometime later, mankind must have discovered inherently psychoactive plants.
Fast-forward slightly, and you will discover storytelling, which led to oral tradition. Writing, which led to novels. N
Re:This is downright scary. (Score:2)
Re:This is downright scary. (Score:2)
Re:This is downright scary. (Score:1)
Escapism may be more exacerbated now because a lot of people have more time/money on their hands and they no longer have to eek out an existence like prior to the industrial revolution. 0.02
Re:This is downright scary. (Score:1)
Re:This is downright scary. (Score:2, Interesting)
Re:This is downright scary. (Score:2)
Re:This is downright scary. (Score:1)
Re:This is downright scary. (Score:2)
Re:This is downright scary. (Score:1)
Re:This is downright scary. (Score:2)
As the population grows, it gets increasingly difficult to be special in a domain. The competition gets harder, as there are many more competitors at the level of being average. Economy gets tougher, with globalization and such, increasing the chances of being without a job for a longer period of time, thus incre
I found a better online game (Score:5, Funny)
It's called running an online business. You can pick from a range of class types, (blogger, storekeeper, programmer) or create your own!
The game content is simply amazing! It is virtually infinite, and changes daily!
You can play as much or as little as you want. Spend an hour, a day or an hour a week, it's up to you!
I've been playing for a few months now and its a blast! Check out my avatar cl1p [cl1p.net]!
Re:I found a better online game (Score:2)
One thing that's missing... (Score:2)
Re:I found a better online game (Score:2)
An example of the action with access_log:
69.224.108.166 - - [04/Apr/2006:05:04:06 -0400] "POST
69.224.108.166 - - [04/Apr/2006:05:04:06 -
From the article (Score:2, Interesting)
The matrix has you.
-Grey [wellingtongrey.net]
Re:From the article (Score:1)
As long I can access my virtual cube from my yacht, it won't be too awfully bad.
Re:From the article (Score:2)
More likely, you will access your virtual yacht from your cubicle.
I am a gank farmer (Score:1)
For those who, (Score:1)
Just for you, a virtual life. But who is going to change your diaper and refill your feeding tube?
Re:Second Life Sucks (Score:1)
WoW/EQ/Actual MMO item purchase: I am elite because I have the Sword of L337Pwn +2 and I can kill you and your little dog too! All the rats will phear me!
SL item purchase: Look I have a pretty pink bonnet! WHEEEE look at me!!
Other games like AO have tons of flair items you can create and/or purchase if you want to game like this, it's just that the devs control what can be made so that everything doesn't look
Isn't this a 2nd-hand advertisement? (Score:1)
A few missed points (Score:3, Interesting)
First, many of the signups are free accounts. You only need to upgrade to a paid account if you want to own land. I rent a 'condo' and I still only have a free account. However I have spent a few dollars occasionally, converting them directly to Linden-dollars so I could buy stuff. Many players just get by on the 50 Linden-dollars a week basic stipend that even free accounts get.
Second, probably the most noteworthy aspect of SL is the large number of women participating. Female avatars substantially outnumber males, in my experience, and while not all of them are "really" female, it is clear that the game has real appeal to women. In fact one of the main activities in SL is clothes shopping, which is one of the reasons that hardcore gamers (almost all men/boys) often don't like the game.
Another point not often mentioned is that another popular activity is gambling. There are hundreds of casinos in SL offering slot machines, blackjack, poker and dice games. Because Linden-dollars are convertible, it means that the players at these casinos are gambling real money. Which is illegal, in the U.S. Yet the activity goes on openly, on servers owned by a U.S. company. Plus, the casinos are completely unregulated and there is basically no recourse if you think you are being cheated, other than to go elsewhere.
I do think the money-making aspects tend to get over-emphasized in articles about SL. Most people don't make or sell anything, from what I've seen. And those who do are not too happy lately. The Linden-dollars have been highly inflationary and have fallen from 1/250 to 1/300 of a dollar in the past couple of months. In response Linden Labs is constantly rejiggering the various stipends and payments they make.
Which brings up the last point, the dynamism of the game. Things are always changing. My condo complex now has a medieval castle complete with lava-filled moat on one side, and an open-air art gallery on the other. Neither was there when I moved in a couple of months ago. You may go to a formerly-popular spot and find that an entire mall has picked up and moved to the other side of the world, overnight. Or maybe they just went out of business entirely. Several of my favorite places have disappeared since I started playing, which is too bad. But new ones are always being created so there is always something new to see.
If you have a broadband account, give it a try. Don't expect it to be a structured game, just an enormous and diverse world to explore.
"ain't goin' away ever" (Score:2)
NB my sig.
I'm tired about hearing about Second Life (Score:2)
The same story over and over about the same people making money in Second Life. Here's a good post about how dull it is [seanbonner.com].
The "omfgwtfbbq people are making money off of virutal gold" is a stale story with it going back to Ultima Online and Everquest in the late 90s. In 2006, this kind of story is nothing more than marketing hype.
Re:I'm tired about hearing about Second Life (Score:1)
tricklehead (Score:1)
Virtual economy... (Score:2)
its going to get bigger before it levels out (Score:1)
One of my issues with the game is finding stuff to do. The strip clubs get boring fast and I have never set foot in Casino. Where are the other things to do?
Re:its going to get bigger before it levels out (Score:2)
big lag fast I chose alphaworld (Score:2)
My net is not perfect 256/128, but this is a damn lagfest. Athlon64 3200+, 1gig ram, and it is like playing quake3 on a 386.
On the other hand, i downloaded Alpha World as well as I haven;t seen it for a long time, and with max detail is just runs perfect and looks better.
I miht ask, if my net and my machine plays BF2 64 player matches without a single lag, how comes that an empty world in the middle of nowhere lags like i can barely
Re:Thank you zonk. (Score:1, Offtopic)