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TEXXR

Chronicles

The story behind the story

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Second Life founder Philip Rosedale returns to Linden Research, in which his startup High Fidelity made an investment, to take on the metaverse

Meghan Bobrowsky / Wall Street Journal :

Wall Street Journal Meghan Bobrowsky

Context & Ripple Effects

Rosedale’s return joins Linden Research more closely to High Fidelity, the social-VR startup that had previously raised a $35M Series D for a blockchain-powered platform. The move brings the creator of Second Life back to the company as it frames its next phase around metaverse expansion.

Second Life already represented a long-running virtual-world model rather than a newly launched metaverse project; later Linden Lab disclosures described substantial creator payouts and a large in-world economy, underscoring why stewardship of its existing community matters alongside expansion.

First-order effects

  • Linden Research gains Philip Rosedale in a role focused on metaverse expansion, while High Fidelity becomes financially aligned with the Second Life parent through its investment.
  • Second Life’s users and creators face a renewed strategic push from the founder of the world they use, rather than a wholly separate High Fidelity-led effort.

Second-order effects

  • High Fidelity’s investment gives Linden Research an incentive to connect its metaverse ambitions with lessons and technology developed in High Fidelity’s social-VR work.
  • Companies pursuing crypto-based metaverses and larger platforms such as Meta face a more experienced incumbent in Second Life, whose community-building model was already central to debates over healthy virtual worlds in Wagner James Au’s assessment of metaverse communities.

Third-order effects

  • The combination points to virtual-world companies treating durable communities and creator economies as strategic assets for metaverse expansion, rather than relying only on new immersive platforms.
  • If founder-led consolidation between established worlds and newer social-VR ventures continues, the metaverse market may favor operators that can combine existing user networks with newer interaction technologies.

The trend: Metaverse development is shifting toward combining established virtual communities with newer social-VR ventures and their funding base.

Discussion

  • @ricmac Richard MacManus on x
    Second Life founder @philiprosedale returns for a second stint. This co is almost as old as Neal Stephenson's Snow Crash book! ;) -> “Second Life rolled out before Facebook was founded, but has hovered at around one million users since 2008.” https://www.wsj.com/... via @WSJ
  • @jessedamiani Jesse Damiani on x
    Second Life founder returns to revamp his original metaverse Second Life may have never left, but in bringing ⁦⁦@philiprosedale⁩ back they have (re)entered the chat in a big way. https://www.cnet.com/...
  • @ourielohayon Ouriel Ohayon on x
    Second Life has a second life https://www.wsj.com/...
  • @danackerman Dan Ackerman on x
    Anything happens in online gaming, it always comes back to Second Life... https://twitter.com/...
  • @meghanbobrowsky Meghan Bobrowsky on x
    The founder of Second Life, one of the first online digital reality games, is coming back to the company after 10+ years to take on big tech and their metaverse plays. For @WSJ: https://www.wsj.com/...
  • @benbajarin Ben Bajarin on x
    The OG metaverse. https://twitter.com/...
  • @hunterwalk @hunterwalk on x
    it's time to get the team back together! 😉🔮 #HunterLinden https://twitter.com/... https://twitter.com/...
  • @stanfordvr Stanford VR on x
    Karmic balance returns to the Metaverse. We will sleep better at night knowing @PhilipRosedale now steers Second Life, home to nearly a million avatars. He champions a subscription business model (not one based on attention or selling privacy). https://www.cnet.com/... @jetscott
  • @jangles Neville Hobson on x
    A ‘new’ role for #SecondLife as a #VR #metaverse where you don't need a VR headset? Possibly https://www.cnet.com/... via @CNET
  • @jetscott Scott Stein on x
    Exclusive: the founder of Second Life is going back to advise on it, shifting away from VR for the moment. I spoke with @philiprosedale about the metaverse old and new and where he wants to go with it. https://www.cnet.com/...
  • @qdot @qdot on x
    Huh. @philiprosedale to advise for Second Life as well as bring lessons (and IP) from @HighFidelityXR. Super curious to see where this leads, as SL has been chugging along in the background during all of the fervor about new VR worlds. https://www.cnet.com/...
  • @drfran @drfran on x
    In honor of the news today: https://www.lindenlab.com/... some pics of @philiprosedale in the 3D @HighFidelityXR, he NEVER gave up the dream, and I am here for it!! #VR for the future !!!!! https://twitter.com/...
  • @loudmouthjulia Julia Alexander on x
    Wish the headline was “Founder Gets Second Life,” but considering Second Life (+ Roblox/Minecraft, VRChat, Fortnite, etc) are the most ready-to-understand conceivable formats an early stage workable metaverse (by today's descriptions/markers), makes sense! https://www.wsj.com/...