Virtual magnate shares secrets of success

Since its public launch in 2003, the virtual world Second Life has become a haven for entrepreneurs. And while the number of people making a considerable profit is still relatively small, it is growing rapidly.

The poster child for profitable Second Life businesses is Ailin Graef–better known by her avatar’s name, Anshe Chung–and Anshe Chung Studios, the business she runs with her husband, Guntram Graef.

Originally, the two ran the company from Germany, but earlier this year, they set up shop in Wuhan, a large city in China, and are now employing more than 30 people full-time at, she says, better than local average wages.

Last month, Ailin Graef issued a press release announcing that the company’s total holdings, comprised mainly of virtual land in Second Life, were worth more than a million real-life dollars. For those who aren’t familiar with the complex economies of virtual worlds, such a claim may seem incomprehensible.

But for anyone who has spent significant time in Second Life, the number seems all too possible, given Chung’s dominance of the land market there.

On Monday, Graef visited CNET’s Second Life bureau for a discussion about her business, how best to set up businesses in Second Life and the nature of competition there.

Full article: CNET News.com