Galt Global Review

QFS 360

June 13, 2007
A Second Life
Newtech Feature

by Tatiana Andronache, I.S.P


People of all cultures and from all eras of history have always imagined worlds beyond their physical surroundings. These realms have usually been a reflection of the history, imagination, dreams and hopes of different cultures throughout different periods of time. It is little wonder then, that in our current technological era, human beings have conceived of a new kind of imaginative world. This world is called Second Life.

A collective virtual universe, complete with its own landscapes, economy, currency, and culture, Second Life is shared across several thousand servers worldwide and is inhabited by millions of so-called “residents.” Developed by Linden Lab, a young, dynamic company based out of San Francisco, Second Life may still only be in its infancy, yet is growing at shock speed. Last year, this virtual universe supported 170,000 residents and caught the attention of Business Week magazine as a notable business venture and social experiment. Today, it registers close to 6 million users.

The concept of Second Life is not a radically new one; it is just the most popular in a rapidly growing genre of online computer games in which a large number of players interact with each other in a simulated world. In the gaming industry, this genre is referred to as MMORPGs - a tongue-twister of an acronym which stands for “Massively Multiplayer Online Role-Playing Games.”

There are quite a number of popular MMORPGs available. Precursors Worlds.com (created in 1994), Ultima Online (created in 1997), and at least a half-dozen others have already been on the market for more than a decade. Social networking sites such as MySpace.com and the auction site Ebay may also be counted as a part of this phenomenon. But what distinguishes Second Life from its competitors is creativity and ownership, as all elements of Second Life are created and owned by residents.

Once registered as a Second Life inhabitant, users create an animated ‘avatar’ (their virtual persona) which enables them to buy land or property. After this first start, avatars can immediately start living, working and making money within this imaginary realm. Users are not required to pay a monthly subscription to register with Second Life however, much like the real world, they are required to pay a monthly lease based on the size and amount of property they own.

What differentiates Second Life from other MMORPGs is that users are allowed to retain full intellectual property rights for anything they create in Second Life. This could be a building, a vehicle, clothing, entertainment, custom animations such as textures, patterns and “skins” for avatars, or any service that showcases an individual avatar’s expertise. The possibilities are as limitless are one’s imagination.

People can go to market with their products, rent space in virtual malls and buy and sell products and services using the “Linden dollar,” which can be exchanged for real dollars at “in-world” exchanges. According to the Business Week article, 300 Linden dollars equate to one US dollar.

Avatars also have busy social lives. They go places with each other, travel to different cities and communities, attend events, join clubs, see movies or concerts, shop at the mall, or attend classes at college. They also interact with other avatars they meet in their travels, much like we all do each day when we step outside our own homes.

Some astute residents have already become millionaires in Linden dollars, and quite wealthy in real dollars. Anshe Chong, the most notorious resident of Second Life, and the avatar of a Chinese teacher living in Germany, operates a virtual land and currency holdings company that has eventually branched into the real world and made a substantial profit. With currency holdings worth about $250,000 in US dollars, Chong has had to open a 10-person studio and office in Wuhan, China, to handle the demands of her virtual business.

The success of Second Life is attributed to a combination of psychological and technological factors. For one, Second Life is appealing to participants because it allows them to experiment with fundamental human emotions and inclinations such as the thrill of being a creator, a pioneer or an entrepreneur. Second, with technology now capable of generating the network power to deliver a fully-functioning 3D world to consumers, creative entrepreneurs are finding a demographic ready and willing to play – and gamble - with virtual life. Generations raised on video games and the Internet are more than ready to embrace this type of pursuit in their leisure time. Many of them are also seeking potential entrepreneur or money-making opportunities.

For those that dismiss Second Life as just a dream land for people who are seeking fun or fulfillment as a form of escapism from the real world, think again. The explosive popularity of the phenomenon has caught the eye of some big corporations, who see in Second Life a novel way to reach the much sought after demographic of educated, tech-savvy 25 to 35 year-olds.

Sears, American Express, IBM, General Motors, Circuit City, Wells Fargo, Visa, American Apparel and Coca-Cola have all been quick to generate business in Second Life. These companies are experimenting with shared product generation, testing, promoting and advertising in an environment very well suited for simulation and interaction.

Some HR firms and employers are starting to use Second Life in their hiring process as a method to test candidates in an environment simulating the conditions of real jobs. It is hoped that in using this technology, the right hiring strategies will become easier to implement and costly mistakes avoided for both candidates and employers.

The promises and possibilities of Second Life are limitless. But is it a risk free proposition? From a social and cultural perspective, blurring the line between real and virtual life may soon pose ethical and legal problems, for there is no way to eradicate real world evils such as fraud or crime. As well, it could be argued that a significant number of people engaged for hours in virtual interactions will eventually lose the ability (and the possibility) to relate to one another in an “analogue” way.

How Second Life and other programs of its kind will ultimately affect the physical and mental well-being of its dwellers remains to be seen. This is a phenomenon in its infancy. Yet as history has shown us, these manifestations of the human imagination will always reappear, time and time again.

If you are interested in learning more about the Second Life world, visit http://www.secondlife.com or http://lindenlab.com/about



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