Could Second Life avatars find a new home in social networks? Image of faceboo by iliveisl

The operation behind Second Life is about to be downsized, according to an announcement by Linden Labs, its creator. The press release, as reported by betterverse, states that the company intends to close down several of its offices and let go 30% of its staff.

Considering the financial disaster of First Life, it’s not surprising that this innovative virtual business is suffering. But, like the news press, Second Life has fallen victim to a double whammy of the global recession combined with the virtual revolution – in particular, the power of social networks.

The press release states that the cuts are part of a strategy to “increase focus on the company’s consumer business including investments intended to enhance ease of use and participation in its virtual goods marketplace through browser-based and mobile applications.”  Specifically, Linden Lab plans to “create a browser-based virtual world experience” and “extend the Second Life experience into popular social networks.”

The Zen-like novelty of just being in a virtual world is not enough anymore and I suspect that many users have grown tired of the sprawling, directionless world of Second Life and want something to do online. Why would you send your avatar roaming around a half-loaded empty virtual disco when you could be hanging out with your real friends online, playing instantly-rewarding zero-learning-curve games, and catching up on everything in the real world at the same time?

Australia’s News.com reported that Linden Lab’s chief executive Mark Kingdon said the company plans to create an internet browser-based virtual world experience, eliminating the need to download software, and extend Second Life into social networks.

“Ultimately, we want to make Second Life more accessible and relevant to a wider population,” he said.
Linden Labs’ decision to focus on social networks is a smart move. Why vainly try to beat Facebook and Twitter when you can join them? I’d love to see a really good application of virtual reality technology in a social network environment, and will be keeping an eye out for Linden Labs’ next move.

Click here to read about virtual reality’s planned foray into TV too.