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Anshe's Amazing Annuity

Deklax Fairplay
Black Sun
Join date: 2 Jul 2004
Posts: 357
06-29-2005 07:05
Just out of curiousity.... Since last year is done and over - why does RL revenue by certain players, as reported in news releases, continue to grow? It was 100G, now 150... What next? AC the SL Millionaire?

From: http://www.mercurynews.com/mld/mercurynews/news/columnists/11995320.htm
VIRTUAL SALES, REAL PROFIT: Who needs to get a life, when you've got a Second Life? Philip Rosedale, CEO of Linden Lab in San Francisco, never ceases to be amazed at the things his subscribers do.

His company runs Second Life, an online virtual world where players can create their own objects, homes and characters. Rosedale says quite a few virtual entrepreneurs are making a real living from the businesses they run in Second Life.

Since the world's Linden dollars can be converted into real money, the players are engaging in businesses such as land speculation, clothing sales and gun sales. One woman from Germany, Anshe Chung, made about $150,000 last year by buying land, developing it and then selling it.

Rosedale says residents spend $1.5 million a month in real money buying and selling to each other, and about $300,000 is converted to real dollars each month. The online world now has 32,000 subscribers.
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blaze Spinnaker
1/2 Serious
Join date: 12 Aug 2004
Posts: 5,898
06-29-2005 07:11
Heh heh. Well, it makes good press eh.. I guess we can all use good press.
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Catherine Cotton
Tis Elfin
Join date: 2 Apr 2003
Posts: 3,001
06-29-2005 07:16
Wonder if the IRS knows about this :D
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Beau Perkins
Second Life Resident.
Join date: 25 Dec 2003
Posts: 1,061
06-29-2005 07:23
Anshe might be bringing in $100,000-$150,000, but what is not being mentioned is her cost for playing. Someone recently came up with a figure of close to 75,000 a year alone in Islands. Then there is all the land she owns on the mainland also.
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Colette Meiji
Registered User
Join date: 25 Mar 2005
Posts: 15,556
06-29-2005 07:25
If shes making decent money in SL - Good for her.

Congrats Anshe - reguardless of the actual dollar amount - on your sucess.
Marilyn Murphy
Obeys Her Toaster
Join date: 23 Jul 2003
Posts: 361
06-29-2005 07:29
i'm with colette here. the actual number is nobodies business and that it is touted by linden labs is surely just pr numbers and should not be relied on.

grats to you anshe.

marilyn
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Malachi Petunia
Gentle Miscreant
Join date: 21 Sep 2003
Posts: 3,414
06-29-2005 07:32
I don't know why they never mention the $500,000 I make monthly in SL :confused:
Beau Perkins
Second Life Resident.
Join date: 25 Dec 2003
Posts: 1,061
06-29-2005 07:41
I was not critisizing Anshe for making money in SL her own way. I was just stating that her cost to operate the way she does is also pretty high.

Even if that $100,000 was $50,000 after her cost to operate, I would still be impressed.
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Catherine Cotton
Tis Elfin
Join date: 2 Apr 2003
Posts: 3,001
06-29-2005 07:46
I cannot help but wonder about the mood in these forums some apparently against the latest decision by linden labs others apparently for land barons. Interesting none the less.
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Chosen Few
Alpha Channel Slave
Join date: 16 Jan 2004
Posts: 7,496
06-29-2005 07:59
I've got nothing but respect for what Anshe has accomplished. Very impressive indeed.

As for her P&L, I can only speculate, but I'd imagine she's making a tidy profit. Even if she's only breaking even (which I doubt) she's still doing great. Most businesses don't make a profit for the first 5 years. She's been in business less than 2 years, and she's most likely profiting in the mid 5-figures so she's way ahead of the curve. All that for having some fun on the computer.




Oh, and btw, I don't think the IRS knows or cares to know how much money is personally made by a German, but I believe her company is incorporated in the US (could be wrong about that) in which case, yes, they would know. They certainly know about my SL business, which for me is a great tax shelter. :D
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Beau Perkins
Second Life Resident.
Join date: 25 Dec 2003
Posts: 1,061
06-29-2005 08:03
From: Catherine Cotton
I cannot help but wonder about the mood in these forums some apparently against the latest decision by linden labs others apparently for land barons. Interesting none the less.



Whats the latest decision?
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Deklax Fairplay
Black Sun
Join date: 2 Jul 2004
Posts: 357
06-29-2005 09:41
From: Marilyn Murphy
that it is touted by linden labs is surely just pr numbers and should not be relied on.
Ya think? ;)

My question is which would be better - a) if they had a database of all of us and our total income for moments like this when they are talking to the reporters or b) if Phillip just pulls it out of his ass as he goes along assuming no one will know or be able to check.
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Catherine Cotton
Tis Elfin
Join date: 2 Apr 2003
Posts: 3,001
06-29-2005 10:52
From: Beau Perkins
Whats the latest decision?


Honestly I keep thinking "What in the hell is Linden Lab thinking?"

The only thing I can come up with is this will make it much easier for rl businesses to buy advertizing space in SL. Is that where this will lead? I don't know. I cannot for the life of me fathom what LL is thinking at this point. I'm stunned by recent decisions.

Cat
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Alexa Hope
Registered User
Join date: 8 Dec 2004
Posts: 670
06-29-2005 11:06
My personal theory is that Philip was abducted by aliens and they messed with his mind.

Alexa
Catherine Cotton
Tis Elfin
Join date: 2 Apr 2003
Posts: 3,001
06-29-2005 11:11
From: Alexa Hope
My personal theory is that Philip was abducted by aliens and they messed with his mind.

Alexa


rofl im starting to wonder that myself today :D
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Juro Kothari
Like a dog on a bone
Join date: 4 Sep 2003
Posts: 4,418
06-29-2005 11:22
From: Catherine Cotton
I cannot help but wonder about the mood in these forums some apparently against the latest decision by linden labs others apparently for land barons. Interesting none the less.

I think it's quite the opposite, Catherine. I think this will impact the landbarons more than we think and will foster greater competition between them, cutting down thier profit margin and bringing lower prices for land to the masses. I don't think the land barons are liking this one bit.
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Catherine Cotton
Tis Elfin
Join date: 2 Apr 2003
Posts: 3,001
06-29-2005 11:40
From: Juro Kothari
I think it's quite the opposite, Catherine. I think this will impact the landbarons more than we think and will foster greater competition between them, cutting down thier profit margin and bringing lower prices for land to the masses. I don't think the land barons are liking this one bit.


I'm just wondering at this point Juro, honest. I have absolutly no clue which way the wind will blow on this one.

Cat
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Schwanson Schlegel
SL's Tokin' Villain
Join date: 15 Nov 2003
Posts: 2,721
06-29-2005 11:47
From: Juro Kothari
and bringing lower prices for land to the masses.


I don't see how land prices will ever get lower than they are right now.
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Jamie Bergman
SL's Largest Distributor
Join date: 17 Feb 2005
Posts: 1,752
06-29-2005 11:49
From: Schwanson Schlegel
I don't see how land prices will ever get lower than they are right now.


I second this. I doubt land can drop too much more. At least now LL has set the ground price per M at L$3.80.
Daemioth Sklar
Lifetime Member
Join date: 30 Jul 2003
Posts: 944
06-29-2005 11:59
Cat, don't waste your breath, you know they won't listen. All we can do really is watch the train wreck occur in slow motion.
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Juro Kothari
Like a dog on a bone
Join date: 4 Sep 2003
Posts: 4,418
06-29-2005 12:04
From: Schwanson Schlegel
I don't see how land prices will ever get lower than they are right now.

I'll give you that, Schwanson - but I don't see them going ever-higher. Anyone who has the means can participate and, in turn, help to keep price inflation in check. I think it's funny how people are whining about LL 'giving' the game to Anshe - I don't see it that way at all, I see it as a smart move to keep sim pricing in check and not over inflated through bidding wars.
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Ulrika Zugzwang
Magnanimous in Victory
Join date: 10 Jun 2004
Posts: 6,382
06-29-2005 12:34
From: Juro Kothari
I don't see it that way at all, I see it as a smart move to keep sim pricing in check and not over inflated through bidding wars.
What I don't understand is why they don't write a perl script (or LSL) script that autodivides a sim into nice neat 512 m^2 parcels and then sell each of those lots at auction. It would remove the overhead of having to divide the land, it would maximize their revenue, and it would eliminate the middle man allowing the lots that are most in demand to be purchased directly by those who want it.

~Ulrika~
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Juro Kothari
Like a dog on a bone
Join date: 4 Sep 2003
Posts: 4,418
06-29-2005 12:38
From: Ulrika Zugzwang
What I don't understand is why they don't write a perl script (or LSL) script that autodivides a sim into nice neat 512 m^2 parcels and then sell each of those lots at auction. It would remove the overhead of having to divide the land, it would maximize their revenue, and it would eliminate the middle man allowing the lots that are most in demand to be purchased directly by those who want it.

~Ulrika~

That's a very good point, Ulrika. I think my biggest concern over this is the unknown status of infrastructure: bridges, roads, protected waterways, etc. I am very interested to hear what will become of these. Hopefully, someone will ask this at the Town Hall meeting.
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Chip Midnight
ate my baby!
Join date: 1 May 2003
Posts: 10,231
06-29-2005 12:43
From: Daemioth Sklar
Cat, don't waste your breath, you know they won't listen. All we can do really is watch the train wreck occur in slow motion.


Is that the same train wreck that was supposed to happen when they introduced land tiers? :rolleyes:
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Cristiano Midnight
Evil Snapshot Baron
Join date: 17 May 2003
Posts: 8,616
06-29-2005 12:47
From: Chip Midnight
Is that the same train wreck that was supposed to happen when they introduced land tiers? :rolleyes:


That reminds me - what I am most disappointed with about the new pricing is the fact that htere has been no adjustment to tier pricing in a year and a half. No increase in prims, yet a marked decrease in quality of servic. Certainly by now they could either reduce land tier prices or increase the amount of land in each tier. The economy of scale does not seem to benefit tier fees at all.
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