Second Life Articles on Economy and Sex

Thought I’d post a note on a couple of Second Life articles I stumbled on from a British site. Normally I would just post them in Delicious, but I thought them important enough to post here.
Despite the title “The Phony economics of Second Life” is a thoughtful piece on the economy of Second Life. It echoes some of my own misgivings about making money in SL.
“The latest figures show that there are less than 50,000 of these premium accounts. So, only a fifth of Second Life’s returning users have a premium account that lets them fully participate in its economy. With around 15,000 concurrent logins, it is possible to speculate that there may be as few as 3,000 paying customers online at any one time (although this figure would rise if they logged on more frequently and for longer than those with free accounts).
Linden Lab itself estimates the number of “in world business owners” by counting those with a positive monthly cashflow. There were over 21,000 of these last month. For more than 11,000 of them, however, their positive cashflow came to less than US$10. And this is before Linden Lab’s charges were applied to their account.
So, from the three million residents who, we are told, are living the dream of a virtual economy, we arrive at a figure of around 3,000 economically active users at any one time – most of whom are turning over only a token sum.
This is a far cry from the predictions of the business journalists.”
I’m not sure where they are getting those figures. I guess I’m one of the lucky 3000 players who is actually making money in SL. I’m not making enough to quit my job or anything, but I make enough to pay for the annual SL premium account and hosting for this website, and have lindens to blow on Tringo.
I think that the authors other interesting point is that attendance in SL is not good enough to warrent the recent advertising boom in Second Life. With a limit of 100 people (and even that results in horrible lag) the recent trend towards “launch parties” and “virtual concerts” are weak. I have to agree, if you want to use SL as an advertisement platform, “events” are not the way to go.
A better way to go is to use SL as a “3D website”, and then advertise it on your own site. I like exploring some of the weird islands. I recently found 30 identical islands sponsored by Showtime, where you can see episodes of The L Word. Its designed for people who have never been to Second Life before. (Note: Showtime and MTV are owned by the same company, the latter is using There for show promotion)
Should forms of “fantasy virtual sex” be deemed illegal?
The second interesting article at the register is interesting for completely different reasons:
Dutch demand ban of virtual child porn in Second Life
By Jan Libbenga
Published Wednesday 21st February 2007 16:45 GMT
The Dutch prosecutor’s office is considering legal actions to test the law against child porn in the popular virtual game Second Life. With no clear litigation, it is difficult to act against perpetrators.
Kitty Nooij, who is in charge of the sex offences portfolio at the prosecutor’s office in the Netherlands, told Dutch news show Netwerk that she will try to bring cases to court so precedents can be set.
Linden Lab’s Second Life is an online digital world with almost three million “residents” claimed by the company. Some areas of Second Life allow adult members to have virtual sex with others who pretend to be children.
Experts, such as psychologist Jos Buschman of the Van Mesdag clinic in Groningen, say Second Life is “by definition a school for paedophiles”, despite the fact that adult members like to roleplay as children. Second Life requires all players to be adults.
Virtual child pornography has been a criminal offence in the Netherlands since 2002. However, there is no litigation related to virtual sex with virtual children. Today, at least four political parties in the Netherlands demanded a ban on virtual child porn roleplay.
Discussions about virtual child porn in Second Life already started three years ago with the introduction of an avatar called Sasami Wishbringer, who has the body of an eight year-old. Lately, there are more serious reports about adult players with child avatars soliciting (paid) sex.
Last year, Robin Harper, Linden Lab vice president of community development, wrote in a posting on the official Second Life forum, that “if Second Life has evidence of child pornography or abuse that involves children in the real world, it will act to protect the child and notify the authorities”. However, virtual roleplay is allowed.
Second Life maintains a seperate server for teens 13-17 and no one under 13 is allowed. So on the main grid, everyone is adult (or at least claims to be) so if there is simulated pedophilia going on it is between consenting adults pretending. As gross as this is, it should not be illegal.
Yes it is possible to make your avatar look like a child, its possible to look like anything. Yet this activity is very rare, so rare that I have yet to see it, and I like hanging in the seedier areas of the grid too. Most “sex clubs” would frown on such activity anyways, so it would be limited to private residences.

