I have just come back from Showcommotion, the children’s media conference in Sheffield, UK. One session, which I moderated, (Welcome To My World) was devoted to virtual worlds for children; the hall was packed. On the 22nd May the preliminary research findings from the research project on Adventure Rock were presented at the Children in Virtual Worlds Conference jointly organised by the University of Westminster’s CAMRI research institute and BBC Children’s. 330 delegates attended the conference and the place was, again, buzzing. It seems the future is very bright for those who are getting into this virtual space, or is it?
Some companies, and some CEOs seems to be doing their research and continuing to keep abreast of market changes and how the market works, Michael Smith, the CEO of MindCandy (who have just launched Moshi Monsters) for example. I have been continually impressed by his grip on what’s going on; presenting very detailed analyses of the different functionality and business models coming on stream to support virtual worlds for children (there are over 150 presently in development). But this will not be true of many companies and the market won’t stand the amount of businesses who are launching virtual worlds for children. Adrian Woolard (now Head of Innovation Culture at the BBC) put this very succinctly in his closing address at the Children in Virtual Worlds Conference; “There can’t be a community that can cope with 220 of them.” At the moment many of these new ventures are backed by VC money, but going into a possible recession, how many VCs will stick with it? The revenue streams and business models are going to have to be robust.
The ever reliable and useful The Motley Fool began pumping out articles such as Five Ways to Prepare For A Recession back in September, 2007; they advised cutting back on household expenses by 30%. This means (as we all know) things like trips, holidays and outings as well as everything else.
One thing which came out of the research project I am just completing was how much children enjoyed exploring Adventure Rock and other virtual worlds which provide ‘outside’ virtual landscapes or stimulating and innovative places to visit online. This may be due to the reduction in how far children are allowed to explore the outside world, perhaps this is due to ‘paranoid parenting’ (See Frank Furedi’s Book of the same name) or the fact that children have less free time? If this is true, then the availability of virtual places to play and virtual worlds to explore may prove to be a recession-proof solution to entertaining children. Of course this happy scenario supposes these things:
1. The industry produces great virtual worlds for children with strong narratives and good management of the immersive space.
2. Tanya Byron’s recent report ‘Safer Children in a Digital World’ doesn’t alarm parents, but goes some way to reassure them that there are ways to look after children in virtual worlds.
3. The VCs stick with the producers working in this new industry, giving them time to sort out a robust range of revenue streams (which seems to be happening).
4. Everybody decides to quietly disagree with Professor Susan Greenfield (’Modern Technology is Changing The Ways our Brains Work, says neuroscientist’)
My Moshi Monster is called Mirepoix, if anyone wants to play?