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Introduction To Operating In Second Life Macpa

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Introduction To Operating In Second Life Macpa

  1. Introduction to Operating in Second Life Tom Hood, CPA.CITP July 25, 2007
  2. Second Life Basics <ul><li>Internet-based virtual universe simulating real life </li></ul><ul><li>Users create all content </li></ul><ul><li>Users retain intellectual property rights to content </li></ul><ul><li>June 2006 – 300,000 accounts </li></ul><ul><li>June 2007 – 7,100,000 accounts </li></ul><ul><li>30% from US </li></ul><ul><li>Average age of user = 30 with 35% over 35 </li></ul>
  3. Why be there? <ul><li>Next generation of internet (web 2.0 or 3.0) 3-D Web </li></ul><ul><li>– expression of the new art and science of collaboration – cut costs, innovate faster, and co-create with customers and partners </li></ul><ul><li>Virtual worlds are one of the five innovations that will change the way we live over the next five years (Irving Wladawsky-Berger, VP for Technology Strategies, IBM) </li></ul><ul><li>Gartner, Inc. reports (April 24, 2007) </li></ul><ul><ul><li>by 2011, 80% of internet users will be involved in some type of virtual world </li></ul></ul><ul><ul><li>Companies should not ignore the growing phenomenon of virtual words as they will have a significant impact on business during the next five years </li></ul></ul><ul><li>$’s -- April, 2007 – </li></ul><ul><li>- $7.2M USD exchanged </li></ul><ul><li>- $6.5M USD Total User Account balances – up $1M over March, 2007 </li></ul>
  4. Why Be There? <ul><li>It’s social </li></ul><ul><li>Immersive space is very sticky; i.e., people get to experience your brand </li></ul><ul><li>Companies can create all of the concepts that a brand stands for in a virtual world without the limitations of real world constraints which can then feedback into the real world for change and possibilities. </li></ul><ul><li>Length time users spend interacting with a brand is much longer than other advertising mediums </li></ul>
  5. <ul><li>Adidas </li></ul><ul><li>Dell </li></ul><ul><li>Toyota </li></ul><ul><li>Sun Microsystems </li></ul><ul><li>Penguin </li></ul><ul><li>American Apparel </li></ul><ul><li>IBM </li></ul><ul><li>Starwood </li></ul><ul><li>Reuters </li></ul><ul><li>CNET Networks </li></ul><ul><li>Yankee Stadium </li></ul><ul><li>Harvard (and 200+ educational institutions) </li></ul><ul><li>H&R Block </li></ul><ul><li>MACPA </li></ul>Who’s there
  6. <ul><li>“ The real value of second life for Cisco is the opportunity for spontaneous customer interaction…. </li></ul><ul><li>I bump into customers and partners multiple times a day in Second Life. In 11 years at Cisco, walking through the parkng lot in San Jose, I never get people come up to me and say, I’m a Cisco customer, have a second?” Chistian Renaud, Chief Architect - Cisco </li></ul>
  7. What are they doing? <ul><li>Customer education & training </li></ul><ul><li>Employee onboarding (IBM orients all of their international employees using Second Life) </li></ul><ul><li>Customer feedback on products (Starwood hotels built a prototype hotel in SL) </li></ul><ul><li>Meetings </li></ul><ul><li>Presentations using powerpoint, streaming audio & video </li></ul>
  8. What it takes to get in <ul><li>Robust computer graphics capability </li></ul><ul><li>High speed internet connection </li></ul><ul><li>Download software </li></ul><ul><li>User Accounts </li></ul><ul><li>Customized avatars with appropriate group affiliations </li></ul><ul><li>Office space (can rent) </li></ul><ul><li>Office furnishings </li></ul><ul><li>Knowledge of advertising and marketing opportunities </li></ul><ul><li>Knowledge of virtual commerce processes </li></ul><ul><li>Knowledge of devices to enhance office space such as a notecard giver; website link, etc. </li></ul>
  9. Professions in Second Life Offices of the Second Life Bar Association boasts 165 members Visit them on-line at http:// www.slba.info
  10. <ul><li>&quot;Instead of trying to practice purely virtual law,&quot; says this Business 2.0 article , &quot;Lieberman has taken a hybrid approach, using Second Life as a meet-and-greet area for new clients, who then take their real-world legal needs offline. And since he took in $7,000 in fees in the first two weeks after hanging up his virtual shingle, he's optimistic.” CPASuccess.com </li></ul>
  11. Virtual Law presentation in SL Presented by the Business Communicators of Second Life group, virtual lawyer, Benjamin Noble, addresses a crowd of avatars in an interactive session on virtual IP.
  12. First CPA Firm in Second Life KAWG&F’s Involvement <ul><li>September 2006 – branch office opened </li></ul><ul><li>Focusing on companies providing services in both real life (RL) and Second Life (SL) as well as companies operating solely in SL </li></ul><ul><li>To date, have worked on small, exploratory projects and have started working with a company putting together an in-world IPO. </li></ul>
  13. KAWG&F Offices (first CPA firm)
  14. Berk (danish accounting firm)
  15. Even H & R Block is in SL!
  16. CPA Island
  17. CPA Island
  18. Scenes from CPA Island
  19. Real Time video feeds Integration with web – real link to macpa.org Integration with web – real link to blogs… Integration with web – real time RSS feeds
  20. Scenes from CPA Island
  21. Scenes from CPA Island
  29. Five Laws for Participating in Virtual Words <ul><li>Virtual worlds are not games, but neither are they a parallel universe (yet) </li></ul><ul><li>Behind every avatar is a real person – there are unwritten rules and expectations for behavior and the culture is developing </li></ul><ul><li>Be relevant and add value; i.e., “don’t sell to me, play with me” </li></ul><ul><li>Brand protection comes from really understanding the environment before participating </li></ul><ul><li>This is a long haul – killer app has yet to emerge and market pressures will lead to merging of current virtual worlds to support free transfer of assets and avatars with the use of a single, universal client. </li></ul>Courtesy of Arlene Ciroula & Byron Patrick – KAWG&F
  30. Taxation Issues <ul><li>US Congress, Joint Economic Committee looking at public policy questions virtual economies raise – taxes, barter exchanges, property and wealth </li></ul><ul><li>Question is whether the government should reach inside virtual worlds to impose a real-world tax on the land, homes, and other owned digital property </li></ul><ul><li>Recommendation expected by August, 2007 </li></ul><ul><li>Per a representative of KPMG (UK): “…expect within 12 to 18 months this is going to stop being a fringe issue and become and issue of concern…” </li></ul>
  31. Credits <ul><li>This powerpoint was developed in collaboration with Arlene Ciroula & Byron Patrick of KAWG&F </li></ul><ul><li>SL: Chili Carson & Bean Wollongong </li></ul>
  32. For more information… <ul><li>Join the SLACPA (in world) Second Life Association of CPAs </li></ul><ul><li>Visit CPA Island </li></ul><ul><li>Contact Rocky Maddaloni (in world) </li></ul>