Posts Tagged ‘Virtual Worlds’

Third Annual Virtual Worlds Trends Event

October 3, 2011

FountainBlue’s held its Third Annual State of the Virtual Worlds Industry Event on September 30. Below are notes from the conversation.
We were fortunate to have a range of experienced panelists actively engaging in the range of virtual worlds activities. The discussion began with an overview of the industry trend, moving from more entertainment purposes to more serious applications, from text and 2 dimensional renderings to more 3D and web experiences. Drivers for richer adoption of virtual worlds solutions include:
• Technology advancements on the client side for everything from PCs to browsers, to mobile, TV, and headsets which allows users to experience immersive interactions with others dynamically, real-time;
• Increased networking, connectivity and performance, which allows users more options for dynamic, interactive, engaging experiences with others; and
• Diminishing development costs, which make it easier for companies to provide solutions in this space.
• Gen Y grew up surrounded by technology, and will push the immersion solutions and technologies and create the kind of demand that can help spark the industry. They are also fostering a social transformation with the convergence of personal and business life, which will impact the market need and technology direction.
Although there have been many technology advancements, some of the cutting edge applications, the ‘cool’ things are solutions we can do pretty much today. But the seasoned entrepreneur looks for the business model, the customer needs, the funding opportunities for these solutions. And many of these solutions are centered around immersive simulation, training, educating and connecting, especially as it applies to real-life needs in the area of healthcare, military and defense applications. In the corporate arena, virtual worlds are leveraged to filter information, make it relevant and engaging, and make it available real-time, with specific measurable results.
Our panelists were quite bullish for the opportunities ahead in the industry – see industry reports in the resource section below, and commented on the opportunities ahead:
• The rise augmented reality solutions like Microsoft’s KINECT motion detection input device has specific implications for virtual training and gamification.
• The rapid rise and adoption of social networks including FaceBook and Google+ will soon demand a net for virtual communities, where existing groups can connect more virtually, where platforms will allow trusted others or strangers with similar interests to connect.
• Hybrid events will become more popular, where there’s a combination of real-life, face-to-face meetings and virtual connections as well.
• Virtual events may facilitate more communities and conversations and connections on an ongoing basis, either online or virtually or a hybrid of the two.
• Virtual trainings will continue to be leveraged in critical situations where personal safety and expensive equipment might be at risk: in hospital care, in military training, in aerospace, etc.
• Virtual trainings will continue to be leveraged by forward-thinking companies to better connect with customers and partners and staff and other stakeholders, and to better prepare, train, measure, reward, communicate at all levels.
• Leverage the knowledge of subject matter experts from around the globe to solve real-world, real-time problems so that all benefit.
• Translate accepted standards of procedure into virtual worlds experiences and even certification and re-certification processes can not only increase adoption of virtual worlds solutions but also provide customers and practitioners with immediate benefits.
• The trend is to create generic platforms which can be adopted to the needs of specific customers, with their content, their functionality, their look and feel. There is a huge opportunity in making it easy for customers to customize these solutions for their own needs, or doing it efficiently for them.
The challenge today is not really around the technology, but around providing the right solutions to wow the customer and connect them with people more deeply and more easily than they thought possible. Our panelists provided the following recommendations for those in the space:
• As mentioned in Blue Ocean Strategy (see resource area for book information), rather than go directly against the competition, find and delight the customer, those who would benefit from connecting with others, deepening relationships, and/or training and educating key stakeholders in their network.
• Measure the solution you provide with data on whether they like it, whether they master the information, whether they use it, whether business outcomes come from the usage and communicate the results in terms of ROI.
• There is a lack of standard definitions about the industry, and a lot of hype and bad experiences from early adopters and users as well as lots of investment dollars lost on what-seemed-like-a-good-idea-at-the-time. These need to be overcome to facilitate deeper and quicker adoption.
• Find the business model around your virtual worlds solutions – how do different types of people make money in participating and what does it mean to him/her?
• Leverage social media and word-of-mouth to build your community and solution.
• If you’re transitioning from real-world to virtual world communities for financial or other reasons, work with your customers to deliver the knowledge, recognition and connections they seek, and also to find other opportunities for them to get that real-world connections. Don’t also expect to have the same feedback, knowledge and results immediately upon the substitution, especially if it was a last-minute, unpopular decision, but if you stick with it, it will continue to generate results.
• Because of these associations, it’s a matter of semantics, and you can speak more about working in a ‘visual social platform’ rather than in a ‘virtual world’ solution.

If Confucius if right when he said ‘I hear and I forget; I see and I remember; I do and I understand,’ and we can prove that virtual world solutions will help people to better understand, the adoption curve is likely to be swift and steep. And we are challenged to make the case that interactive online experiences around community can directly benefit the bottom line now and in the long term. And those who get that it’s more about the people and opportunities to educate, train and connect them real-time, virtually and in-person, and less about the technologies, as enabling as they are, will be more likely to succeed.

• Avista Partners, Interactive Entertainment Summit 23 Nov 09,
o Online as 70% of 106 billion dollar market cap
• Blue Ocean Strategy
o A bestseller across five continents, published in 40 languages with more than 2 million copies sold, Blue Ocean Strategy is based on a study of 150 strategic moves spanning 100 years and 30 industries, and provides a systematic approach to making the competition irrelevant and creating uncontested market space.
• Forrester Research, Getting Real Work Done In Virtual Worlds, by Erica Driver, Paul Jackson, with Connie Moore, Claire Schooley, Jamie Barnett, January 7, 2008,
o . . . it’s still early, pioneering days. You’ve practically got to be a gamer to use most of these tools — setup can be arduous, navigating in a 3-D environment takes practice, and processing and bandwidth requirements remain high. But within five years, the 3-D Internet will be as important for work as the Web is today. Information and knowledge management professionals should begin to investigate and experiment with virtual worlds. Use them to try to replicate the experience of working physically alongside others; allow people to work with and share digital 3-D models of physical or theoretical objects; and make remote training and counseling more realistic by incorporating nonverbal communication into same-time, different-place interactions.
• Kzero Universe Charts
o Virtual worlds, MMO companies by size, average user age and launch date
• Virtual Worlds Landscape, Barry Holroyd
FountainBlue’s September 30 Third Annual State of the Virtual Worlds Industry Event featured:
Facilitator Barry Holroyd, CTO, Masher Media
Panelist Andrea Leggett, Senior Product Marketing Manager, EMC
Panelist Dannette Veale, Virtual & Digital Technology Strategist, Cisco’s Global Sales Experience and Virtual Partner Summit
Presenting Entrepreneur Parvati Dev, President, Innovation in Learning
Presenting Entrepreneur Raj Raheja, Founder and CEO, Heartwood Studios
Presenting Entrepreneur Nanci Solomon, Founder and CEO, Xulu Entertainment
Please join us in thanking our speakers for taking the time to share their advice and thoughts and to EMC for graciously hosting us for this year’s annual event.


Virtual Worlds: The Hype, The Reality, The In-Between

March 12, 2009

FountainBlue’s March 9 High Tech Entrepreneurs’ Forum was on the topic of Virtual Worlds: The Hype, The Reality, The In-Between and featured:
• Facilitator Glenn Von Tersch, Partner, TIPS Group
• Panelist Anne-Marie Roussel, Microsoft
• Panelist Michael Gialis, Business Development Manager, Project Wonderland and Project Darkstar, Sun Microsystems
• Panelist Robin Harper, Former VP of Marketing and Community Development, Second Life, Linden Labs
• Panelist Steve Nelson, Executive Vice President, Chief Strategy Officer, Clear Ink
• Panelist Susan Stucky, Research Manager, IBM

The emergence of social virtual worlds as a cultural and business phenomenon has astounded and mystified some, and excited and profited others. In these trying economic times, people are escaping to fantasy lands and adopting new online personas, businesses are profiting from the upsurge of people actively participating at many creative levels, investors are looking carefully at the returns for existing companies, and corporations are wondering how virtual worlds will make them money, while providing better service for their customers.

Virtual World Definition:
• Wikipedia: A virtual world is a computer-based simulated environment intended for its users to inhabit and interact via avatars. These avatars are usually depicted as textual, two-dimensional, or three-dimensional graphical representations, although other forms are possible (auditory and touch sensations for example). Some, but not all, virtual worlds allow for multiple users.
• Excerpted from Gartner Analyst Steven Prentice talk on July 30:
o Prentice said a virtual worlds is a presence in a space where interaction takes place in real time with digital personas.
o Prentice pointed out that our avatar’s identity represents how we want to be perceived.
How Virtual Worlds Are Different:
• There are elements of interactivity, collaboration, immersion and immediacy which distinguish virtual worlds from ‘canned’ games or regular webinars.
• There’s a potential for higher engagement and better connection between participants during the experience, which may lead to a more persistent and relevant memory. For example, a webinar in a virtual world may mean more than a regular webinar, particularly if you identify closely with your avatar.
• The best virtual worlds offer tools which make it easy for people to be creative and express themselves, connecting with others.
Advice About Virtual Worlds:
• Plan for and understand expectations from you/your company’s participation in a virtual worlds project. Make the outcomes timelined and measurable where possible.
• Consider the importance of the (positive and negative) experiences of the users and what that would say about your brand.
• Be open to letting users experiment within the virtual world, and event to take it in a direction which you may not have originally intended.
• Companies that manage virtual worlds must establish policies for behavior, taxation, democracy, economy, governance, etc., In many ways, it’s a society and a culture should be proactively managed, just like in real life.
• Creating an economy and an exchange allowed people to create their own land, reap benefits from their creativity and ideas, and own their ideas and concepts. The people who are successfully profiting from the economy on Second Life pave the way for others to do the same, and are attracting more people to investigate opportunities for themselves.
• Costs for creating a virtual world are minimal. As this is a new area, this is a good time to experiment with different revenue models and niche markets to find something that works.
• Partner with established entrepreneurial companies and established corporations to leverage their applications, research, and markets and find a win-win.
• Make your virtual world intuitive to use, to encourage mass adoption.
Opportunities for Virtual Worlds Solutions:
• Offer interactive early and secondary education and training.
• Provide interactive training and simulation games which may have military or flight/driver’s applications for example.
• Offer mapping tools which would have real-world applications, like providing law enforcement or military personnel detailed geographic maps of areas where there might be danger.
• Sales force education to learn everything from how to sell the product/service to how to manage/overcome rejection. This type of training might be more real online as avatars can get quite animated!
• Create mixed-reality concepts such as sensors in high-crime or war areas to help identify sources of gunfire for example, to respond quickly, to electronically map area, etc., all to help law enforcement and military professional proactively manage violence and protect people.
• Leverage virtual world tools for project management/collaboration training or execution or for negotiation and sales training.
• Create a virtual world call center to build better connections with customers and perhaps better collaboration between customers/between customer and company.
• Use virtual world experience for diversity or innovation training.
• Use virtual world to create support groups for people of similar interests and challenges, particularly if they have physical challenges making it difficult to connect in person with others or learning challenges like Aspergers where it might feel safer to connect and experiment with people similarly afflicted before trying out ideas and concepts live.
Ideas for Making Money on Virtual Worlds:
• Own the virtual world, like Linden Labs
• Sell virtual goods – millions of dollars can be made annually on selling virtual goods
• Create virtual world tools for mobility, analytics, decision-making, design etc.,
• Be a design agency or Sherpa to help others with their virtual world projects
• Save money on training and communication/collaboration/project management for your company with a virtual world presence.
• Build a reusable virtual world environment.
• Blog on It’s All Virtual, by Dennis Shiao of InXpo: Insights and Experiences from Virtual Worlds Experts,
• FaceBook group for Virtual Event Strategists
• Noted Gartner Analyst Steven Prentice Updates His Predictions on Virtual Worlds, August 5, 2008, Donald Schwartz for Fast Company, reporting on the opening session of Clever Zebra’s Vbusiness Expo, July 30, 2008 ( which took place on a virtual world platform created by Forterra Systems Inc (
• Size of Virtual Worlds:
o Strategy Analytics…
o K-Zero
o 30 million active users in virtual worlds although many without a credit card
• IBM Report: Virtual Worlds, Real Leaders: Online Games Put the Future of Business Leadership on Display

Click to access ibm_gio_gaming_report.pdf