May 052013
 

Protest Gnomes

You will hear it being whispered in darkened corners of Second Life. Shadowy figures are abroad, they may even be coming to a mainland sim near you and with them they carry no tier contributions, but they will be in the possession of mainland parcels.

There’s something amiss and according to the whispered reports, there has long been something amiss. These shadowy figures are allegedly taking advantage of a rumoured exploit and getting for free, something that others pay through the nose for. I should be outraged, for some reason, and I’m not quite sure why, I’m not.

One reason perhaps is that some people will inadverently be taking advantage of this loophole. I’ll give an example, I’m frustrated that Linden Lab have made no moves to address the tier issue, tier remains too damn high. I have taken steps to downgrade my land holdings. During the course of this I started to unload some mainland parcels, then I decided to check my group contributions in case I had tier donations above and beyond what was needed. I found that I didn’t have enough tier donations in one particular land group, I found myself 2 metres under. Now 2 metres is neither here nor there and it may have only happened as I unloaded parcels owned by that land group due to losing land in tier bonus, or I may have long been 2 metres under and not realised it. I had more than 2 metres of tier available, so it was easy to put that right.

Another reason I’m not outraged is that even if Linden Lab send round the tax collectors and plug this hole, they won’t shift a damn inch on their tier pricing. The shadowy figures aren’t likely to pay for their tier, they are more likely to abandon, so the net result would be nil.

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Apr 122013
 

I haven’t sold land in Second Life for quite a while. I purchased land many moons ago, when you could pay 15,000 Linden Dollars for a bog standard 1024m parcel. Those days are long gone and I knew that the land market had crashed.

So this week I looked at my bills, looked at the return I’m getting from Second Life and decided it mght be time to tier down. I’m exasperated that Linden Lab seem to have made no obvious attempts to address the tier issue, which remains too damn high. I know I know, cutting tier would be economic suicide right now, it’s better to slowly lose income than cut income too quickly and risk everything, yadda yadda yadda, but Linden Lab need to realise that their pricing model is outdated, that their options, are outdated. There aren’t enough payment options.

By the same token, my inworld business models are outdated, I haven’t moved enough with the times, the fact that my business models are no longer working is my fault, not Linden Lab’s. I mean sure, it’s easy to say they should lower tier, but they haven’t, so it’s up to me to do something about that in terms of moving on to a new business or pulling out. I’m currently in the middle mode of deciding it’s time to cut back. My decision to cut back is long overdue, especially as Linden Lab won’t budge on the tier issue, but ultimately, it’s my fault that my Second Life business isn’t doing as well as it once was.

So anyway, I decided to cut some parcels and test the water with selling some, rather than flat out abandoning, as I have tier capacity to hold parcels, it seems silly to abandon without trying t0 sell. However, I didn’t realise how flat the land market currently is. One parcel I cut, is admittedly rubbish, so I decided to sell this 512m parcel for L$120, it isn’t selling! Goodness knows what price the land bots kick in, although I will have time to test this.

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Jan 152013
 

Although we currently do not accept L$ in lieu of land sale and maintenance fee payments, we could. Acceptance by Linden Lab of just one month of land sale and maintenance fees in L$ denominated payments could cut the in-world money supply by more than 50%.”  – Zee Linden, 14th August 2007 – Second Life Economy Blog Post.

I’ve quoted Zee there, who was the chief financial officer of Linden Lab a while back, because The Marketplace arguments are tied tightly to the tier being too damn high arguments. I’ve argued in the past and continue to argue, that Linden Lab can’t cut tier until they find alternative revenue sources.

Inara Pey has an excellent blog post explaining why slashing tier would be problematic: Tier Cuts : Looking From The Lab’s Perspective. There are some eye watering figures on how much income Linden Lab would potentially lose from slashing tier by a third: “However, were the Lab to cut tier by one-third, they immediately slash monthly private region revenue by $1,400,520. That’s equivalent to 4,747 full private regions vanishing from the grid – 1.6 times more that the total number of private regions (full, Homestead and OpenSpace) lost in 2012.

This is the stark issue facing Linden Lab and one which explains why tier is unlikely to be slashed anytime soon. However this doesn’t mean nothing can be done, Linden Lab need to get their thinking caps on but a couple of areas which could be investigated are with regards to timed usage and greater use of Linden Dollar sinks.

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Dec 312012
 

Usually at this time of year, someone will post some predictions for the forthcoming year, although that seems to be light on the ground this year, it’s always a bit of fun to see those predictions and see what transpires. However predictions aren’t for me, instead I’ll post some hopes and wishes and look at what may happen.

On The Horizon

On the horizon we have some useful looking improvements coming to us from Linden Lab. Project shining leads the way and is already well under production. This includes server side baking via project sunshine, which will be a pain point for some as older viewers such as Phoenix aren’t coming along for the ride but it should mean improvements to how textures load and improved performance. This is also alongside the new http-Library project which is already being used in the beta viewer.

This comes on the back of Linden Lab improving hardware during 2012, as stated on the blog post about 2012: “in 2012 we made the single largest capital investment in new server hardware upgrades in the history of Linden Lab

So we should see the results of these hardware and software improvements during the coming months. We should also see the emergence of the open source efforts to improve graphics rendering performance such as the use of normal and specular maps during 2013.

Then we should see more work done on the good building practices wiki pages, which is turning into a bloody good resource.

Second Life expanding to Steam is still on the horizon. Changes have been made to the beta viewer, including a create account option, so it seems to be getting closer.

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Dec 272012
 

The results of Prim Perfect’s recent poll are in and unsurprisingly, there’s large feedback on the tier being too damn high in Second Life. The poll received 246 responses, which in some ways makes it a representative poll, on the other hand the poll was self selecting, which means it might not be representative. That’s the way polls work but they are usually weighted in some ways to select certain groups of people to try and balance results, 246 out of Second Life’s user base would satisfy most professional polling organisations in their results, the self selection wouldn’t.

I’m not trying to invalidate the results, largely because I agree with them mostly, but I think it’s only fair to put some perspective on the poll. Prim Perfect do the same, they’re not trying to hide anything, which is good to see.

I’m not going to cover all of the poll, you can go to the Prim Perfect blog for that, but I’ll look at a couple of results. I’ve covered the decline in private estate ownership on this blog, most recently with news that private estate ownership is down 12% this year, a result found because of the wonderful work of Tyche Shepherd. Prim Perfect’s poll also pays homage to Tyche, although at that time the losses were 11%.

What do you think are the major factors causing the decline of private landholding in Second Life?

  • The high cost of tier in Second Life – 84%
  • The economic situation in the real world –  66%
  • The dominance of the Marketplace making holding land less viable – 41%
  • A sense that Second Life is outdated –  27%
  • A move to other forms of social gaming – e.g. Facebook, phone apps –  16%
  • Other – 21%

Wait wait wait! That’s more than 100%! Yes that’s because it was a multiple answers question.

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Dec 242012
 

Tyche “Statto” Shepherd reports a net loss of 106 sims this week in her awesome survey post over at SLUniverse. Linden owned regions increased by 16 this week, but private estates were down 122. This makes the year to date loss of private regions from the grid 2,863, which is 12% down for the year.

The increase in Linden Regions comes from the arrival of 18 Linden Realms staging regions, so it looks like we may get some new fun sims to explore. However amongst the losses are sims owned by Dell, IBM, The US Army and The British Council. However the vast majority of the 122 losses are not corporate sims.

The good news for Linden Lab is that the size of the main grid still stands at 28,097, of these regions 20,994 are private regions with the other 7,103 being Linden owned. This means there’s still a very healthy amount of usage, but the trend remains downwards.

By my estimates private region ownership is somehwere around the level it was at in June 2008, although in June 2008 we had seen some large growth during the year.

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Nov 292012
 

Another interesting coment came up from Inara Pey’s blog post (see previous post for link as I don’t want to spam pingbacks). Adomaw Lupindo raises a really interesting point about tier and scale:

Do you think that LL’s Mesh discounting was an indirect way to offer tier reductions without changing their product pricing scheme by passing on the work to the content creators? I’ve asked the opinion of an estate manager and what that might mean and it was pointed out that even though people could in theory cut their prim needs by a max of half—it doesn’t give them more or the same amount of landmass to play with that on.

Linden Lab have, over the last year or so given us opportunity to reduce our land impact (prim count in old money) numbers. We can now create 64 x 64 metre prims natively in the client, whereas the old maximum was 10 x 10, unless you were using workarounds, such as megaprims, which as far as I’m aware were never officially supported. We can use tricks and techniques using the convex hull shape to reduce the land impact score and we can buy or upload Mesh. This means that your 117 land impact allowance on a 512m parcel goes a lot further, so can everyone tier down? I mean tier is the bugbear (and is too damn high). The answer of course, is no, not everyone, not even the majority I’d guess and that’s an issue of scale.

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Nov 142012
 

The expected premium offer has arrived, A discount on a quarterly membership of 50%, meaning it will only cost USD$11.25 … I think! Now, if you’re cute with the Lindex, you can get someone else to pay for this in three months time, if the L$1000 bonus is included, you can get someone else to pay for this and have enough left over for a coffee from a company who may well divert the profits to avoid paying tax, but that’s a whole different ball game.

There’s also a new premium gift, as announced on the blog. A new airplane, with which you can fly in a premium only airfield. Personally I’m not that keen on the concept of premium only areas beyond sandboxes. I think it’s a good idea to give premium members exclusive early access to places, I’m not so keen on exclusive perks like airfields or even the wilderness. However if it works in keeping people premium, then fair play to Linden Lab.

Premium membership isn’t that bad a deal, you get 512m tier or a Linden Home, with mainland parcels so cheap these days a parcel may be a better option, Linden homes have restrictions on events and those parcels can’t be group owned, which means you may miss out on some features. On top of that you get a stipend of three hundred Linden Dollars, unless you’re a returning oldbie whereby it may be four hundred Linden Dollars, although if you’re a really old returning oldbe, it may be five hundred Linden Dollars. I don’t know if they still put you back at your original stipend level, they certainly used to.

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Nov 042012
 

Tyche Shepherd’s weekly report of the size of the grid has revealed this week that we lost just ten private regions this week. One Linden region was added, making a net loss of just nine regions, the smallest fall in regions since the week ending June 24th, which was actually the last time we had growth in the number of regions on a weekly basis.

Now considering that this is a much smaller loss than recently, it could very well be an outlier, rather than an indication of a change in trend. Time will tell. The same can be said of the net loss of over one hundred regions reported on October 21st, that was much higher than usual trends and thankfully looks like an outlier, that was linked in with the Royal Properties estate going belly up.

Tyche has also reported the results of her October 2012 private estate survey, which is based on a random survey of 5,000 private regions to determine the results.

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Apr 052012
 

Ah Thursday, not just any Thursday, but the Thursday before the Easter Holiday weekend, where I can now put on my slippers, sit back, and not worry about my day job until Tuesday. This also means I’ll be blogging … unless Football Manager 2012 hooks me too much again. Hopefully I’ll talk about Kitely later but for now it’s the Second Life shoppers paradise that I’ll write about.

The rumour mill suggests that Linden Lab are looking for ways to get people shopping inworld again, not that people have stopped shopping inworld, but the rise of The Marketplace has caused concern for inworld ventures. I’ve spoken about this before, I am not a huge fan of The Marketplace but it’s here, it’s convenient, it works (usually, there have been glitches lately) but it undermines some key aspects of Second Life, such as store rentals and sales which help fund roleplaying sims, Arts sims, Club sims, social ventures, hangouts yadda yadda yadda. Personally I think the horse has bolted now, the time for some joined up thinking was months ago.

The Marketplace isn’t the only reason for concerns on the viability of social and arts ventures, Styles Of Edo have announced they are closing after five years of trading in Second Life. This is a Mens fashion store for those who aren’t familiar with the fashion scene. When I originally published this post, this paragraph suggested Styles Of Edo was closing due to not making enough sales to make tier, this is not the case and I apologise for any confusion, I have not spoken to anyone from Styles Of Edo and do not know why they have chosen to close, however there is a comment from Chrissy Ambrose in the comments of this post. Stores and Sims in Second Life close for a variety of reasons, new ones arise from the ashes and we carry on, times change, tastes change and culture changes.

Deja Letov posted in the official forums on their views on why getting shopping back inworld is a great idea, however again we’re back to inworld shopping not exactly being dead and my view that the horse has really bottled, we are too far into the bricks and mortar challenge here, the online shopping experience in an online world is now very appealing and yes there is something wrong with that picture because Second Life is a 3D virtual world and The Marketplace is a 2D Shopping site.

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