During a week in which there have been some truly interesting Second Life business happenings, I’ve been holed up finishing an article for an industry publication about business happenings in Second Life. It’s really difficult to write for a long-lead print pub when things are happening in the hyper-lifetime of SLT (Second Life Time). I’ve therefore been a bit delayed in my typically more timely commentary. There are many good sources for the breaking SL news so I’m sure you have missed nothing. I prefer to spend time looking beyond the headline, anyway.
Which brings me to the announcement this past Monday that independent uber-PR firm, Edelman has officially entered Second Life. In case you are not in the PR industry know, Edelman Public Relations’ Me2Revolution division and their partner in this venture, The Electric Sheep Company, announced the opening of Edelman Island around a business plan competition for Second Life entrepreneurs. The grand prize is $350,000 in Linden dollars, 6 months' use of an SL island and both PR and technical assistance from the partners Edelman and Electric Sheep Company – totaling about $3500 in U.S. dollar value. They will also be debuting a machinima news blog sometime soon called The Grid Review to promote resident journalism. Mark Wallace over at 3pointD is acting as a key advisor on the projects.
I attended yesterday's in-world event at Edelman Island to hear the panel of venture capitalists, who were there to discuss business plan best practices and designing business models for those interested in joining in on the competition. Susan Wu and Jon Goldstein of Charles River Ventures and Catamount Ventures respectively, were the VC panelists. Rick Murray, President of Edelman’s Me2Revolution, and Sibley Verbeck CEO and founder of The Electric Sheep were also on the panel. I’ve been since searching for the promised podcast of the audio conference call that was piped into the virtual event, and as soon as I find it I’ll link to it here.
Sibley of ESC added the few real insights about Second Life or SL
business to yesterday’s panel discussion, either through the audio
conference call or through the always more-interesting in-world chat
back channel. The VCs on the panel were seemingly talking more among
themselves than engaging the real audience represented by all those
attentive avatars.
The business plan competition is an experiment according to The
Electric Sheep Company. And although there are some potential
logistical issues surrounding
intellectual property protection for the entrepreneurs who enter, I
think the idea has merit and I applaud Electric Sheep for bringing it
to the table behind Edelman. It did strike me during the
panel discussions, however, that the VC judges don’t really understand the social
network and virtual world “environment” except on the "analyst level" (to
be expected), but if this project can help an entrepreneur get his or her idea
into the virtual or real marketplace, there is value in it and to the VC attention.
But most surprisingly, even during this live event,
Me2Revolution's Rick Murray offered almost nothing about Edelman’s
Second Life presence or the project. And its absence - from a
communications company/new media division that is supposedly doing this
to connect with the SL residents, explore SL as a medium, and add value
to the community - was deafening.
It is obvious that the virtual world developers, The Electric Sheep Company, is the true investor in this venture, even if it is funded by Edelman. The ESC stamp is all over it – and I don’t mean just the inviting virtual space of Edelman Island. Other than a blog post by Edelman’s Steve Rubel, I’ve been hard-pressed to find any official statement or press release by Edelman PR (please point me to it if you know of it).
The Electric Sheep appears to be doing all the PR heavy lifting and communicating about the venture via their blogs, including joining in on the conversation and commentary in the rest of blogosphere. And, ESC is doing an admirable job in spite of the absence of PR support from their partner.
For Edelman, they would have better served themselves as communicators by framing their involvement as “sponsors” because right now from them this just feels a lot more like “Me2” than “Revolution.”
See Edelman Island at: secondlife/Edelman/198/114/26/.
Get more information on the business plan competition here.
November 18, 2006
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