And now, Forbes magazine agrees with me. I'm warning you - the tax man is coming and it won't be long. The greedy politicians are salivating over the money that is exchanging hands in Second Life and other virtual world and MMORPGs. They are no doubt frantically trying to find aa way to stick their hands into your back pocket.

The hearing that occurred on April 1st this year was supposed to be some kind of exploratory thing. But in truth, and you really know this, whether your believe it or not, it was really kjust the first step into taxing anything and everything you own, whether it is real or not.

Read this Forbes article. Man-o-man do I feel so vindicated.

Indeed, the minority staff of Congress' Joint Economic Committee has a study underway, and academics are already churning out papers on the proper tax treatment of pretend online worlds with their own economies and commerce. You can buy weapons to use in battle in "World of Warcraft," or sexy outfits to go out dancing in "Second Life," or furniture to decorate your igloo in "Club Penguin."

Taxing Virtual Worlds - Forbes.com

A very hot debate about content theft (technically plagiarizing) is flying around the SL blog again. We'll simply have to agree to disagree. Part of the replies to my post are also misunderstanding the spirit of my posts.

I've had my say and my say is this:

First - most content created in SL is pretty good. Not too bad at all, nothing that will cause a double-take, but on the whole, not too bad. Then there are those items which are absolute must-haves. The top-of-the-line stuff.

Now as for the whole content theft business goes, my basic presumption is this: if your stuff is really good, well designed, it will get stolen. If not stolen, then coveted and copied (facsimile) at least.

This won't sound pleasant, but you should be honored. It's a sign of the quality and popularity of your product. Now, don't think I don't care - I do. I sympathize with you and it is wrong. But the fact of the matter is if someone wants to steal your work, they will find a way to do it.

Why bother locking your car? If they want your stereo, they'll just smash the window.

Now, the first problem has to do with how are these people 'ripping' or otherwise able to create full permission copies of your stuff. Three ways I am personally aware of: a prim duplicator, a texture ripper and copybot.

Prim duplicators are very useful tools. I use one almost regularly. If you want to know how or why, IM me in world and I'll actually show you, beyond just explaining it. Suffice it to say I build stuff I give to my better half to sell, and i would prefer she be known as the creator, among other uses.

The only way a prim duplicator can work is that the prims being copied must have modify permissions. Without that - it won't work. Additionally, scripts cannot and will not be copied. So the copy is just an empty shell.

Yes, many will use prim hair as a classic example of content ripe for being stolen this way. Two answers to that: make it no-mod and insert a 'resize' script, allowing the customer to resize it without having mod permission - a headache to be sure (no pun intended.)

Or, accept the risk - more on that later.

Texture rippers - I honestly don't know much about them. I know it is easy to script a prim to take any texture that you know the UUID (Universal Unique IDentifier) and display it on that prims faces. As for the next step - I really don't know.

However, textures in SL always have been the least secure to prevent copying. And the majority of textures in world are all illegal anyway! They are downloaded from the web or stolen from out-world content CDs without proper license to upload them into SL. Now, I agree, the skin creators do not usually fall into this category. Unfortunately, there just isn't much you can do about it.

The third method, which works for prims and textures, et alii, is the greatly feared "copybot". I've read about it and based on what i know about how SL, databases and computers work - there just isn't anything that can be done about it.

I see posts demanding Linden Lab put a stop to its use. That's an impossibility. The copybot works on your local computer. It grabs the data from the internet stream as it goes through your computer to the graphics processor. So, unless you want to allow Linden Lab full access to your personal computer and to render the display inoperative - there's nothing that can be done.

Now, it already is known that anyone caught using copybot will get an instant ban from the service. However, there are too many easy ways to make alts and start over. So, with copybot, there really is no defense. Fortunately it is near impossible to actually meet someone who has actually met someone who has actually used one, it is that rare.

The real issue is that people purchasing a product from a vending machine or sales box will have no indication as to the authenticity of that product. How will they know they are buying a stolen copy? They don't. So, you really can't blame them - and yes, I know that ignorance of the law is no excuse. But it is what it is. Even if you know the law, you also have to know when it is being broken.

So - do you simply lock everything down tighter than a drum, or simply take the risk?

SL is a very big place. If your items are stolen, it is highly unlikely you (or anyone else for that matter) will ever know it. Unless a friend or someone familiar with your designs happens across it.

The only other way to know is if you search classifieds for your keywords and find your stuff that way. In which case, you have a stronger case to fight it with. The fact is, if your stuff is worth stealing, it will get stolen.

Do you sweat it out, or just be aware and try not to worry about it until it actually happens. When it actually happens, then, and only then, evaluate the situation, determine the damage it will do for you and then take the appropriate action and move forward from there.

In the case of the stolen commercial skins. If it were me - I make the stolen skins freebies, and be sure that most popular freebie places have them: New Citizens, Inc., Sara Nerds place and all the others. Make sure it's in a box with information about the skin, who created it and where to find more (landmark).

I know there are many who would disagree with this approach. But, it's the approach I feel would work for me. The best preventive action we can take is to educate the resident public at large. The problem is there is no CNN or other "Nightly News" that everyone turns to for information. There is no central news authority where people learn about what's happening.

Even the SL blog is visited by a tiny fraction of active residents.

So... how to let people know when they are buying a stolen copy? Easy, find a way to let them know they are buying a genuine authentic. How do we do this? It will take a lot of work and effort and help from Linden Lab.

Charlotte Bartlett (Post #139) says it best:

"Why can’t we simply all join together sim owners, content designers and creators and become one group. We can work together to create our OWN validation tool and council and work with Linden Labs to take this platform forward. Hey I know groups tend to crash - but I am personally sick of the 10 plus groups I try to stay membership of all dealing with content theft and each with their own champions."

Hey, I'm game.
I already put an "Authentic" logo on all my products and in my boxes and I do everything I can to make sure that part of my design is locked down as tight as SL will allow. But it's really not enough.

So, Charlotte, shout at me when you get this idea of yours initiated. Count me in.

Read the full Linden Lab post here:
Protecting Your Copyrighted Content « Official Second Life Blog

Oh, and a footnote: yes, I have had stuff stolen and sold out from under me. I went the "freebie" route I explained above. it worked... the stolen versions dried out and eventually, I removed the freebie version and retired the design. So, yes - I have been there and yes, I can relate to those offended by plagiaris...er... theft.

Corporate R&D, educational classrooms, commercial showrooms, fantasy Gorean swordplay and now... war room. For real life.

Forbes magazine has an interesting article on how the Feds are coming into virtual worlds to... help catch terrorists and other bad guys.

Always fun and fascinating news:

Leave it to the U.S. government to suck the fun out of innovative technology. As the inhabitants of virtual worlds like "Second Life" and "World of Warcraft" fulfill fantasies of flying between islands and fighting armies of blood elves, the feds are looking into using the virtual realm for far more mundane--if more practical--activities: sitting around a conference table, watching PowerPoint presentations and attempting to track down terrorists.

Building The Feds' Virtual War Room - Forbes.com

The content theft in Second Life is starting to gain attention out in the real world - places and bloggers that don't usually report on Second Life.

Though in my opinion, the content theft in Second Life is not actually "theft" by definition of the word (the creators are not actually deprived of the creation,) rather it is plagiarism, I also can understand why the term is used. It packs a heavier punch, even though the real reason the term is used has more to do with our laziness and lack of true understanding of our own language. And many can be rather niggardly about it.

This is a good read.

Not so much that it's about the complaints, (and even shrill, in some cases, whining,) about the current lead of comment, but because it applies to all plagiarism in SL - including those who 'borrow' from real life, such as popular names and logos.

"What these programs do is allow users to copy models and designs from others of the Second Life universe. However, typically these creations are sold in virtual shops and are not designed to be copied. In fact, Second Life has a permissions system that, theoretically, is supposed to prevent such unauthorized copying."

PlagiarismToday - » Content Theft and Second Life

If you've been following all the SL Blogs, you know there is a lot of hoopla about Intellectual Property (IP) rights and content theft. There even is an awareness campaign being run by many of Second Life's better-known creators.

Many, including myself consider the campaign to almost be a waste of breath. Almost. But, as it turns out, this is only the tip of the proverbial iceberg and Second Life residents are the Titanic. It's going to get a lot worse before it gets better.

The issue is the untested waters of Second Life and virtual IP as it pertains to the law. real world law. It has already been proven, at least to a small degree that real life law can and does apply to virtual IP as found in the Eros vs. John Doe case of 2007.

If you are a creator in SL - creating your own stuff, marketing yourself, or even if you 'borrow' real life logos and marketing approaches, and especially is your are a content plagiarizer, you'd do very well to read the linked article.

For anyone involved in any way with Intellectual Property in SL, builders, designers, scripters, SELLERS... fasten your seatbelt. It's going to be a rough ride if you aren't careful.

Quote:

"For example, it's not clear whether someone who commercializes a virtual copy of a patented real world object commits patent infringment [sic] and if so, in which jurisdiction. It's also unclear whether someone who develops a trademark used only to identify virtual goods and services generates enforceable trademark rights in the real world. And it's not known whether making virtual use of a trademark, which can be confused with a real-world trademark, amounts to trademark infringment [sic].

"But rights holders can't really stand around waiting for the courts to decide the law."Failure to enforce is particularly damaging to plaintiffs in trademark infringment cases," [sic] says Kristina Rosette of Covington & Burling, which has offices in the U.S. and Europe.

"Mr. Bennett argues that abusers can do as much damage online as they can do in the real world."

Virtual worlds ripe for real-world lawsuits

Creating in Second Life is creating.
Starting a business in Second Life is starting a business.
Marketing in Second Life is marketing.

Okay, starting a business in SL is pretty straight forward and the easiest of these three. Find a mall, plop down some Linden Dollars (L$) into a rental box - all set. But what do you sell? The first option above is a bit more difficult.

Creating in SL requires a pretty steep learning curve. And, there are multiple facets to it: Prim building (creating that sofa,) Texturing (Using your favorite image editor to create the image files that, when applied to your prim sofa, will allow it to look like a sofa,) and then scripting (adding pose balls or something more elaborate.)

Many will go the easy route and purchase a "Business in a Box" (BIAB) - unfortunately, this is a bad idea. First, BIABs are usually just chock full of freebies or someone else's throw-aways. The items are not very good, quality-wise and the prim items are usually quite bloated and heavy with inefficient prim-building design.

On top of that, if ten people buy the same BIAB and all set-up shop in the same mall, what does that do for each of them?

The next best thing is to learn to build prims. Then head off to a texture vendor to shop for textures. This saves time, and doesn't require image-editing talent or upload costs. You buy the textures, plop them onto your sofa prims and away you go.

The same for pose balls. You can buy 'resale' pose balls that you can attach to your sofa, and sell the whole kit-and-kaboodle at will. of course, this route requires a monetary investment (resale pose balls are not cheap!)

Then of course, you could simply do it all yourself, taking the time and effort to learn what you need to learn to make things happen, or a combination of all of the above, except for the BIAB.

Then comes the marketing.
Ouch.

This is by far the most difficult of anything you can possibly do in SL. The reason is that it is too easy to just buy stuff. There is always someone who creates what you create. Many will be lower in quality and many will be higher.

The problem is that there is a mall or shopping vendor in 99% of every place you could want to visit. In fact, SL is really just one gigantic shopping mall. Everywhere you turn, there is always a vendor machine or box with something to buy.

So how do you market your wares and not get lost in the 'for sale' desert?
One idea is to put your vendors in as many places as you possibly can. But be careful, this can backfire. Personally, I am so sick and tired of seeing that horrible pink "Kinky-O" logo every damned where I go. To the point that I refuse to buy anything from the creator or visit her properties (her properties are owned and run by her alt - or vice-versa.)

So, you really need to work the classified and search system. Doing this, and marketing in general is beyond the scope on this post. But suffice it to say, there are those who cheat in this, too.

We all know about campers. As soon as I land at a mall or shopping location, or any venue where I see campers, I teleport out to the next place before the floor even finishes rezzing for me.

I also stay away from bogus logos.
I've written about this before.

And yet, here is another column about the plagiarism of logos. If you use a logo without an explicit license or written permission from the logo owner, beware. The wolves are out and they are hunting. If you don't believe me - put up anything that looks like or mentions "Mickey Mouse' related to your product. You be on the national headline news before long. I guarantee it.

Yes, we all know Coca-Cola has given explicit permission for Second Lifers to use their logo. But Coca-Cola is open that way. And others like Apple Computer just brush it off, knowing it is all fandom-created anyway. But be careful, I say.

• Supply the graphics--provide the quality and type of graphics you want the licensee to have.
• Exclusivity--exclusivity is always dependent on the negotiations.
• Jurisdiction--It is important that your licensee has some ties to the U.S. so you'll have an effective method to enforce rights.
• Tarnished brand--consider the environment in which the products are sold.
• Enforcement--the licensee should have a responsibility to the property owner to make the licensor aware of any infringement.
• Marking product--additional marking of the object's Second Life profile may be worthwhile.
• Royalty rates--a detailed conversation with your future licensee can establish an appropriate royalty rate.
• Payment reports--detailed reports should be provided and include information about any purchase, the name of the purchasing resident, the date and time of the purchase, and pricing."

Second Life Brings Infringement Risks and Licensing Opportunities, Top Trademark Expert Says: "-- Know your licensee.