From the official Second Life Blogs:
U M Says: January 24th, 2008 at 11:07 PM PST
A lot has changed since my almost 3 1/2 years on sl. And its not all good

Wayfinder Wishbringer Says: January 25th, 2008 at 7:43 AM PST
I agree U M. Sounds like we've both been on SL about the same amount of time (I joined when SL
had about 5,000 paid subscribers, 25,000 total residency). During that time, I've seen a lot of nice
toys appear, some of them interesting and nice (local lighting) some of them really great (HUDs),
some of them nice-but-laggers (flexis and sculptys). But overall, I've seen a general serious
degradation of performance and some major, major glitches that are not at all good (the failure of
group chat for several months now without resolution being at the top of my snit list, closely
followed by Group Notice failure).

LL will likely continue charging through the nose because that's what the market will bear, and the
bugs and flaws will pretty much continue (mainly because LL has proven they can't seem to
debug). That doesn't make friends, it doesn't create loyal customers, and in the end… will cost
them thousands and thousands of users no matter what they do (when some people get fed up,
there's no courting them back). Nevertheless, when competition does show up (and it will / is) LL
will either hang on to its current market strategy, relying on the people either too heavily vested in
their system (or too stupid) to jump ship. Another possibility is that they will gradually lower price as
the market requires for competitive advantage.

It's a lousy, user-unfriendly way of doing business. It's making profit their God and putting bottom
line ahead of customer loyalty and satisfaction, but that seems to be the self-serving philosophy of
corporations these days. The day of "The customer is always right" is long gone, and has been
replaced by "get mine now, however I can get it, and hang satisfaction and reputation".

"May you live in interesting times." I think in the VR world (and to tell the truth, RL as well), the next
year or two are going to be very "interesting times".
JIRA filing MISC-894: LAND EXTORTION AND GRIEFING

Problem: extortionists purchasing tiny plots of land, erecting ugly and
anoying "advertising" signs, and setting the land sale price to extortion levels
(often L$4,000 for 16m) in order to force nearby landowners to pay the price
to remove the eyesore.


Response from Wayfinder Wishbringer, 2-9-2008

Many of us have been aware of this serious problem for a long time. There are all kinds of
theories on how to stop it, but if I may be blunt it all comes down to this: Linden Lab needs to show
some plain simple GUTS and put an end to it. Because in the end game, it is Linden Lab that is
responsible for this problem, not the people who take advantage of Linden Lab's lack of policy
enforcement.

Prokofy: "The point is not only to remove the profit motive; the point is to remove the business type
completely, as it is unscrupulous. No different than a fraudulent bank."

This is the most accurate statement I've read here with one exception: these people aren't a
"business type"... they're extortionists. They're criminals who harass and extort residents into
coughing up ludicrous amounts of money to regain their view, as the above photo shows.

SOLUTIONS: I see two solutions.

ONE: Contrary to a couple of statements above, yes, LAND PRICE CAPPING is a very valid and
excellent solution. I would move that Linden Lab set ALL land prices at a maximum cap of
(whatever, say... L$12/m). This would immediately stop some clown from buying a 16m plot (as
very aptly demonstrated in the picture above) and trying to resell it for L4000. Take away the
ability, you take away the motive. Yes, yes, yes... I know all about "restriction of freedom" etc etc
etc blah blah blah. Fact: FREEDOM does NOT mean the ability to do whatever you dang well
please, regardless of its effect on others. TRUE FREEDOM is the ability to go about one's life
without unethical harassment from others. So yes, putting a cap on land might put a slight limit on
the real estate industry. That cap can be adjusted slightly as the market requires. In RL, one puts a
fence up around a property not to restrict "freedom", but to protect those who reside there. A land
price cap would do just that: grant us greater TRUE freedom by eliminating the kind of abuses
shown above.

TWO: Land gouging and extortion is AGAINST SECOND LIFE TOS. The bottom-line rule of all
TOS concepts is YOU CANNOT INTENTIONALLY HARASS OTHER USERS.

So bottom line LINDEN LAB... show some guts and enforce your own TOS. Make land extortion
an ABUSE REPORT offense, and ENFORCE it. It's just that simple.

Again, there is blame to be placed here and it is not soley on those who perform such extortions.
The blame lies squarely with Linden Lab's total failure to enforce their own TOS principles. When
they start actually protecting their customers, these problems will become fewer. Unless Linden
Lab steps up and actually sets serious consequences for such abuse... such abuse will continue.

It's all in Linden Lab's lap... and it is their fault these things go on. They've gone on for YEARS
without the company doing anything about it. Such is inexcusable.

Forgive the bluntness folks. My friends know me: I tell it like it is, I don't mince words or pull
punches, and I tend to point the finger in the right direction. The above problem isn't cute or funny
or witty; it is an intentional abuse of the Second Life environment.

So many, many problems on SL could be immediately eliminated if Linden Lab would just simply
exercise common sense, enforce simple ethics, and do what is right and necessary for the good
of its customers.

Rules and the TOS are not about technicalities.... it's about protecting the best interests of Linden
Lab and its clients. Allowing abuses such as this to continue benefit no one but the extortionist
and in the end, it doesn't even benefit him. L$ are temporary and vanish over time. His reputation
is down the tube, people hate him, he's a lousy and miserable person. LL is doing no one any
favors by allows such things to go on and on, unregulated and unanswered. So LL... protect your
company, protect your customers, be stand up and stop this type of extortion.


Commentary: The Current Status of Second Life
1-24-2008

Recently in the Second Life Official Blogs, many comments have been made about Linden Lab
excessive price gouging of customers (sims costing as much as US$350 a month), poor
performance, free vs paid accounts, as well as general sim performance.

Last heard, LL has over 10,000 sims, ranging from $195 to $350 a month in charges. Some
people are upset that some sims are using "non profit status" to reach a tier status of $150 a
month… when the group is definitely not non-profit. Cries of "bogus politics" can be heard,
especially from those paying $350 a month (involving a legally questionable European VAT
charge-- why is a US company responsible for paying European taxes... especially regarding a
non-tangible product such as an internet VR world?).

In addition to the above 10,000 sims, LL has the income from paid accounts, for which they
charge between $72 a year and $9.95 a month. Add to that the rental of smaller plots of land
(which are far more expensive en total than full sims) and we have a sizeable inflow of cash.
LL is raking it in, no doubt about that. The ultra-conservative estimate has been made of $4
million a month. Likely, the actual figure is at least half again that much or more.

(Disclaimer here: I am a "freebie" customer. I love it. So no bias here. I'm telling it like it is).

Regarding free accounts: Many people enjoy free accounts. Most do not complain about these.
There was a time when VERIFIED free accounts existed and were not a major problem.
However, it is a fact that the major problems on SL started when they opened up SL to "email
only" registration and stopped requiring credit card (or debit card or bank account) verification.
System resources were taxed, immature minors became prevalent, the quality of society in
general degraded. That was a major snafu done just so Linden Lab could artificially inflate their
user numbers and attract big businesses to the grid. It hurt SL in general. Many feel it was an
unconscionable decision designed for the benefit of LL, while throwing their paying customers
to the wolves.

As someone mentioned in the blogs, there is no such thing as a "free account". SOMEONE is
paying for it… in this case, the paid members and private island folks. Monetary issues aside,
the entire system is paying for it. Those free accounts do take up considerable system
resources. There is nothing wrong with a free account; it is good that LL is willing to make their
system open to those who are less financially capable. But is opening up the system to anyone
who can fake an email address a good idea? Doing so unquestionably opens up to minors
what is advertised as "18+ only". No one is fooled by claims otherwise.

The influx of non-paying customers puts a definite strain on limited system resources and is
often called into question. Is it fair for paying users to have a sub-standard game experience
because the vast majority are not paying, yet taking up just as much in system resources? Their
complaint is valid. Why should paying customers suffer so that others can get a free lunch?

However a system is designed, the trick is to make sure all the servers communicate with one
another properly, to make sure the databases are constructed correctly and accessed correctly,
and that the asset servers are put together logically and actually work. It's making sure the code
isn't spaghetti and works efficiently… apparently all of which are not the case with SL. If Second
Life were plumbing, we'd be chest deep in water.

Now we have a situation that has not existed prior: several new companies are poised to give
Linden Lab some direct competition. China's HiPiHi (an SL clone) and the OpenSim project
(professional users who are getting together to design their own SL clone system) are the most
notable. Others are in alpha and beta test stages. For 8 years SL has been the only store on
the street. That is about to change. There's no doubt at this point that we are going to see
some major changes happening over the next year. These will either be good or bad. SL will
either survive, or it won't. It may grow (does Linden Lab have the common sense and skill to pull
SL's fat out of the fire?) or it may grind down to a ghost town (quite possible, considering past
performance and management).

The immediate observation is that a company that can't get simple GROUP CHAT right, that
can't figure out how to get a Group Notice delivered to all members in the group, doesn't have
much of a chance when the competition hits. For three years we at Elf Clan have been
predicting the future of SL. For three years we have been consistently correct. We shall see
what transpires over the next year or two.