12 Things Business should know about Second Life

 

IBM in Second LifeEvery day more than $1,000,000 US dollars is spent in a virtual world called "Second Life". Unsurprisingly, there is an increasing buzz on the internet around this phenomenon.

 

Many large enterprises including IBM, Vodafone and Nissan are getting Second Lives. So what do they know, that you might not ?

 

This article gives you the essential facts about Second Life from a business perspective, so that your organisation can survive and proper in this brave new world. 

 

Contents

 

What is Second Life ?

Second Life is an online virtual world where almost anything is possible.

 

You can fly, shape change,  teleport, and carry an unlimited number of objects in your pockets.

 

Flying in Second Life

You can also buy land and use it to build anything you like from an online product showroom to a corporate headquarters or a spaceship.

 

Second Life has a thriving economy with its own currency, the Linden Dollar.

 

 

 

There are many people who earn their livings entirely in Second Life as builders, designers, estate agents and programmers.

 

Second Life has been in operation since 2003. There are currently 3.8 millions residents of Second Life of which about 1.3 million are active. Approximately $1,000,000 Real Life US dollars are spent every day in Second Life.

 

Who’s in Second Life ?

Major corporations such as IBM, Cisco, Adidas, Nissan and Lego have all developed virtual real estate in Second Life.

 

Many major brands such as BBC Radio One, Reuters, PA Consulting, Vodafone, Cisco Systems,  Toyota, Warner Bros. CNET Networks are also in Second Life.

 

What can Second Life do for you  ?

The possibilities are endless.

 

Information Technology companies have developed virtual islands in Second Life where they hold meetings and seminars.

 

Executives from all over the world can connect without the inconvenience and expense of travelling. It’s not as personal as a face to face meeting, but in many ways it can be equally productive.

 

Property developers are building virtual property developments to test architectural designs prior to construction in the real world.

 

Adidas are selling virtual trainers and hoping to test market virtual products before rolling them out into the real world.

 

Nissan Car Vending Machine in Second LifeNissan have created an area with a “loop the loop” car track road and a vending machine which dispenses fully drive-able cars for free.

 

Entrepreneurs and DJ’s have created sell-out musical events with virtual performances from real life celebrities.

 

A major supermarket is creating a virtual shop to allow customers to view and buy products in 3d.

 

How much does Second Life cost ?

A basic account for Second Life is completely free. For this, you get the Second Life client program, unlimited access to the Second Life universe and a monthly virtual stipend of $250 Linden dollars.

 

Picture of Second Life Car DealerYou only start to incur costs if and when you want to buy land to build something on. Fortunately, the cost of land in Second Life is much cheaper than Real Life.

 

A premium account costs $9.95 per month and for this you get 512 m² of land enabling you to build whatever you want.

 

For a trifling $1600 dollars plus $300 per month you can have your own virtual island and enable visitors to your corporate website to “teleport” into your island.

 

For a major corporate site you should be considering acquiring your own island and hiring a capable builder (or team of builders) to create your virtual environment.

 

Creating a Second Life corporate location is comparable in time, complexity and costs to building a traditional website. There are many new media design agencies that can take care of this for you.

 

How do I get a Second Life ?

To access Second Life, you need sign up for a Second Life account and download the Second Life “client program”.

 

The client program works much like a web browser (eg Internet Explorer) but is designed to display the Second Life world rather than web pages.

 

You can sign up for an account and download the client program here:

 

www.secondlife.com

 

How do I build something in Second Life ?

An island in Second LifeThe Second Life client program includes a simple yet sophisticated object builder that lets you assemble collections of simple shapes into more complex shapes to construct whatever you like.

 

It really is very easy to use and anyone who is interested and computer literate should be able to get to grips with it.

 

Like anything however, using the object builder is a skill that takes time to master.

 

Skilled users can add custom textures, animations and “scripts” to make objects that can move and respond to the environment. eg doors that open, screens that play video at the touch of a button etc.

 

Is there a Land Rush in Second Life ?

Hmm, not really.

 

There are plenty of people making money in Second Life from increasing virtual land values as more residents sign up and areas become more popular.

 

As in Real Life, land in popular areas is in short supply, so expect to pay a premium for a good building plot.

 

However, land values in Second Life are different from those in Real Life. Whilst the mainland has a restricted supply of land, there is potential to create an unlimited number of virtual islands.

 

An organisation looking to make an entry into Second Life should be considering acquiring its own virtual island.

 

Having your own island means your space will be hosted on its own dedicated server this will help ensure that the performance remains satisfactory for your visitors. It also means you won’t have to worry about the neighbourhood going downhill.

 

Can you make money with Second Life ?

There are a variety of ways of making money inside of Second Life. Buying and selling land, designing buildings and landscapes or creating complex objects such as luxury yachts or cars.

 

Anshe Chung - Second Life MillionaireIn November 2006, Anshe Chung became the first person to become a Real World dollar millionaire from profits earned entirely within Second Life.

 

As the number of residents continues to grow, so the potential for advertising and the demand for virtual products and services also grows.

 

www.anshechung.com/include/press/press_release251106.html

 

Who owns Second Life ?

Second Life is owned by Linden Labs.

 

All the intellectual property created within Second Life is owned and created by the residents themselves.

 

What limitations exist in Second Life ?

Second Life uses plenty of bandwidth. It can consequently be a little slow at times.

 

The environment is geared up towards rendering 3d objects, so handling text is possible but a bit cumbersome.

 

How does Second Life complement  traditional websites ?

I see Second Life as a way to extend traditional websites with 3d virtual worlds.

 

Sometimes the best way to make a point or demonstrate a product is with a page of text and images, sometimes a video and sometimes with a 3d immersive world.

 

Directing your website visitors to your Second Life virtual world is as easy as creating a hyperlink to http://slurl.com.

 

For users that have the Second Life client program installed, Slurl.com will automatically teleport them to your Second Life location. For users that don’t have Second Life, Slurl.com provides a friendly message and link to sign up.

 

There is a Second Life programming API which allows Second Life to talk to external computer systems and vice versa. This could be used for example to manage Second Life advertising or handle responses to Second Life visitors in the Real World.

 

Are there any alternatives to Second Life ?

A Car in Second LifeSecond Life is not the only way to render 3d worlds and objects over the web, but it is probably the best known and provides integrated functionality such as an online object builder, IM chat and seamless server hosting.

 

It is also “cool”.

 

One alternative technology for 3d rendering over the internet is “X3D”.

 

X3D is an XML based method of describing, rendering and animating 3d worlds over the web. X3D is a development from the original VRML (Virtual Reality Modelling Language).

 

There are a variety of tools for creating and viewing X3D worlds including browser plugins that can render your 3d object much like a Flash object.

 

X3D is worth watching as it is an “open” standard with a good community behind it, however for delivering 3d over the web right now, it has nowhere the near the level of simplicity and user adoption offered by Second Life.

 

Conclusion

It isn’t clear what the potential benefits might be for every organization.

 

Second Life really is increasingly becoming just another part of reality rather than an “alternative” reality. This is just the beginning.

 

Anyone who is interested in the latest technology should definitely sign up for an account and invest a few hours visiting some of the sights.

 

The status of Second Life seems to be similar to the early days of the World Wide Web with many organisations testing the waters. Many have also reported dramatic benefits and are investing heavily in this area.

 

Who knows what the future holds ?

 

More Information about Second Life

 

A few places to visit in Second Life

 

More Information about X3D

X3D Homepage
http://www.web3d.org

 

Download the Flux Player X3D Browser plugin
http://www.mediamachines.com/downloadplayerty.php

 

Some sample X3D Scenes
http://www.mediamachines.com/browse.php

 


Author: simon.gardner@immediacy.co.uk      21/02/2007


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