Second Life? I just don’t get it…

The technology press (and even mainstream media outlets) has been reporting on this “incredible” virtual world called Second Life.

And I just don’t get it.

If you don’t know, Second Life is a virtual world developed by a company called Linden Labs. This virtual world allows users (called Residents) to interact with one another via avatars (an avatar is a user’s representation of him/herself - a real photo, cartoon, or 3D image). It’s a spin on “social networking” software, similar to MySpace, FaceBook, and others. The main difference though, is MySpace et al are reality-based while Second Life is (arguably) fantasy-based. But unlike most fantasy-based virtual worlds (like World of Warcraft), Second Life virtually replicates life… meaning people can buy virtual property and have virtual relationships.

In other words, it’s boring, just like “1st Life”.

The economic aspects of Second Life are what really blow my mind. Users (or “Residents”) can purchase products, services, and virtual land “islands” for Linden Dollars (L$). The exchange rate is about L$270 = $1. Users convert US dollars to Linden dollars and can purchase items in Second Life. Users can also create their own goods and services (virtual of course) and sell them to other users. For example, some users have written some code that will “enhance” avatars’ sexual organs… and other users actually buy it… for their virtual self… …OK…

Virtual land deals are another aspect that I don’t quite get. Users can purchase islands (Linden Labs charges them a “Land Use Fee” of course) and then they can build compounds, amusement parks, etc. Some of the Land Use Fees can be in thousands of US$ with monthly service fees in the hundreds…

A virtual economy troubles me the most because there are no tangible goods or services. In other words, if you buy a product from Amazon.com, it will be delivered to you. In Second Life, it’s virtual and only your avatar has it. Services are arguably a little better, but again, they don’t exist outside of Second Life. Some services can be tangible however, such as education or knowledge sharing (I’ll give it that).

In other words the Second Life economy is a house of cards or a pyramid scheme. It needs new users coming into Second Life to keep the economy going. Avatars cannot create new avatar “babies”, so if the influx of new users drops, or if another virtual world competes effectively with Second Life and draws users away from it, or if the positive press Second Life is enjoying right now goes away, the entire economy collapses. And all the money spent on avatar enhancements and virtual land is gone completely. Think “virtual ghost towns”. At least in the real world you can put your stuff on eBay…

There are already newspaper stories about Second Life blurring the line with 1st Life. For example, the story of a married man who (while his 1st Life wife is watching TV) is on his computer living his alternative Second Life in which he is married to another avatar, goes shopping with her, bought a virtual island (and the expenses that incurs), yada yada yada.

I wonder if he knows if his Second Life wife is really a woman or a man… (according to the article, she is a woman)

To me, the real danger in Second Life is it gives someone the ability to completely withdrawal from 1st Life. It’s kind of sad and depressing to think that people use Second Life to create another life to be something they are not.

But what happens if his Second Life wife leaves him (or doesn’t log in any more)? What recourse does he have if he is stuck with the monthly Land Use Fees? Does he contact a Second Life lawyer and file for divorce in the Second Life judicial system? Legal questions are becoming a real issue in Second Life.

All joking aside, what psychological real world twists and turns could a person go through when something happens (like broken relationships, bad business deals, gambling debts) in their virtual life? It’s just a matter of time before stories start appearing in the press about a man (or woman) who got so engrossed in Second Life that they ended up losing everything in 1st Life.

And in the end, 1st Life is what we are stuck with, for better or worse.

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