Barry Collins decides to return to the shining prime example of virtual worlds, Second Life, and see how some of the recent changes (new land, closing down casinos, adding Adult Zones, etc) have impacted things.  Along the way he discusses some of the history, and finds not all is well in virtual space.

At its peak, the Second Life economy had more money swilling about than several third-world countries. It had even produced its own millionaire, Anshe Chung, who made a very real fortune from buying and selling property that existed only on Second Life servers.

Three years on, and the hype has been extinguished. Second Life has seen its status as the web wonderchild supplanted by Facebook and Twitter. The newspapers have forgotten about it, the Reuters correspondent has long since cleared his virtual desk, and you can walk confidently around tech trade shows without a ponytailed “Web 2.0 Consultant” offering to put your company on the Second Life map for the price of a company car.

In short, the whole article can be shrunk down to “Sex Sells”.  All of the “Destination Landmarks” that SecondLife hypes up are deserted, while all of the hidden red-light stops, while buried underneath paywalls and age verifications, are the busiest places in space.

via Whatever happened to Second Life? | Analysis | Features | PC Pro.