Tyche Shepherd, a Second Life user who's also a real life statistician for a renowned multinational corporation, has been for years carefully tracking the status of Second Life land and private islands, the core source of Linden Lab's revenue. A few months ago in her monthly reports, she quietly dropped this pretty large bombshell (captured above):
Tier has dropped to at just under US$3M for the month. Additional monthly revenue from 30K Prim Full is ~US$18K.
Her report last week is consistent with this trend. Basic math means that's around $36 million a year. The company has told me before that tier payments account for about 80% of total revenue (the rest earned from monthly Premium accounts and other sources). Assuming that's still the case, we're safe estimating Linden Lab now earns around $50 million, give or take.
Which would be pretty amazing, because:
- In 2009, Second Life annual revenue was forecast at $100 million.
- In 2010-2011, Linden Lab was reporting annual revenue "exceeding $75 million a year".
And now we're closer to $50 million, which would mean revenue cut in half in 7-8 years. Which would also likely mean this: Sansar's success is do or die for Linden Lab.
(I checked my estimate with Linden Lab and Tyche, of course, and will update this post if I get a reply.)