The growth in virtual worlds have stalled in recent years with the ongoing problem of needing vast amounts of PC memory to operate, and the general poor quality of social networking functionality. The opportunity for virtual worlds lies in browser based applications and the development of Facebook levels of social networking.
Stephan Paternot, founder of the once successful theglobe.com, believes social networks will evolve into fully immersive 3D virtual worlds where you can practically reach out and touch someone. Looking at Second Life give us a glimpse but are really just a shadow of how things will develop over the next 10 years. Back in 1999 nobody could imagine what could come after Yahoo and Nokia phones. Stephan says ‘Nothing is certain, except that continuous innovation is the only way to survive and prosper. Just ask Steve Jobs.
Total spend on gaming software this year is expected to reach $45bn according to Gartner, with ‘online gaming (taking) a larger share of overall spending as social networks and new gaming models take shape. Many online games are currently provided on a subscription basis, but could be provided as free games, with developers earning money through in-game advertising and sale of value-added services or virtual goods’.
There are more than 1 billion users of virtual worlds and roughly half of these are under 15.
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