New World Newsfeed: 3D Virtual Worlds for Enterprise Use Forecast To Become $8-10 Billion Business By 2014
GigaOM: Enterprise Virtual Worlds to See Real-World Growth
3-D virtual world applications for enterprise use will grow into an industry earning $8 billion to $10 billion in annual revenue by 2014, according to Kris Tuttle and Steve Waite, analysts for Research 2.0, in a paper for GigaOM Pro (sub. req.). They argue this will happen after a critical mass in 12-24 months, after which, the revenue will double year over year. In the full report, the authors list a number of 3D enterprise applications, and handicap their prospects at becoming a leading player in the industry. Second Life is described as a market leader, but Tuttle and Waite report "a good deal of discontent and frustration among enterprise users of Second Life, particularly concerning security and intellectual-property issues, in addition to complaints about ease of use." OpenSimulator gets respectful coverage, and high praise for its open source approach, but, the authors argue, "OpenSimulator is still considered alpha software, which means it is not quite ready for prime-time use in the enterprise today."
Read the rest of my summary here. I agree with the authors' main thesis, though I'm a bit skeptical revenue will reach into the billions of dollars in so short a time. If you're in the enterprise side of virtual worlds, what's your sense?