News Virtual space resort sold for $100k

http://www.bit-tech.net/news/2005/10/25/project_entropia_sale/

What does this guy know that we don't??

 

Gah! I would like to think this was a bad idea, but he's most likely going to turn out getting rich for this. Personally, I'd rather spend $100k on something a little more tangible than a virtual mall.

 

You know the scary thing is that you are probably right.... but I still think it's nuts!!

Hehe wonder if he had to take a loan in the bank, I can see the banker asking twice: "What was it you wanted to buy???" Do you guys think you can get a mortgage for virtual property??

 

I don't think you can YET. With the way bankers and games are going soon you'll be living 2 lives one online and one in real life. I'd have to see the intrest rate on online property though.

 

OMG What do they expect from me. I went to apply for a game account on that web site. You know what I got.

Edit: Does anyone read those things anymore?

 

Methinks MrWillyWonta wants that 7800...

Has anyone ever read the EULA? The only one I read, just out of sheer curiosity, was for Kazaa Lite, which explicitly said "Use of this software is illegal." (though because it was in infringement on KaZaA, not due to fileswapping).

This is quite an interesting project... can you get along at all without pouring any money in or do you HAVE to put some in to have a chance? Talk about VR... this takes it to the next level imo, with it having such a profound effect on real life.

 

Big Upside

This is certainly no riskier than investing in Enron Stock, or WorldCom (considered a "widow and orphan" investment before its bankruptcy).

This guy is getting much more than a virtual mall. He gets mining and hunting taxes (the rate of which he sets)- he also can solicit advertising from companies to display on the virtual billboards. Now 300,000 registered players don't all play at once, but still he'll make a decent return there.

Lastly, though I dont understand this (read from the game forum)... his spacestation will encourage other players to buy virtual apartments to store all the minerals and other items they gather while visiting.

The fact that this auction reached buyout in only 3 days is testament to the loyalty of the Project-Entropia players. The company (called MindArk, in Sweden) now has more cash to invest in more servers and designers. I guess the "real" cash economy fosters much more "ownership" (sorry) over the playing experience. Interesting to see where it all stands a year from now

 

Wonder who Wonta is

Anyway, I just happen to read online news a lot. And I started posting news before the competition too...

 

Jon "Nerverdie" Jacobs is a long standing supporter of MindArk,the creator of Project Entropia. Jon knows a good investment when he sees one as he was out bid last year for an Island that sold for 26.500 USD to an investor, David "Deathifier" Storey from Australia.

Deathifier is doing quite well with his investment and has been reaping profits from estate sales and Taxes. Most (not all) of the players beleive that he has already made back a sizable amount from his initial investment, and he's only owned it for less than a year, and for the most part of that time the land area wasn't even developed yet.

Jons aquisition will allow him to approach outside businesses and put up adverts for products they produce. The Resort will also have streamed audio and video, which will open a whole new source of revenue

The economic dynamics of PE is fascinating and one thats sure to continue on for years to come.

 

You sound like a marketing agent for MindArk . My point is that it is a big investment for what seems like a "new" game. Even with 300k users. Yes he got 1000 apartments, but to break even he'd have to sell each of them for 100 bucks or 10,000 "PED"(in-game money). And its not like you can have pay per click banners on the advertisment space. It sould to me like its more of a "Hope" investment. He HOPE's more people will play, and HOPEs people will be willing to poor their hard earned money into something that gives them no real return. Some people are diffrent then me and I know stuff for other MMORPGs has sold on ebay for ungodly ammounts on money, but the people who buy stuff for those sorts of things are few and far between. Maybe it 2-3 years I will be provin wrong but to me it looks like a massive waste of money.

 

You can play PE for free..but you won't go anywhere real fast. An initial investment of 20 USD (200 PED) will go a long way for a beginner, if they play smart and find a good Mentor.

PE is not an easy game...in fact most don't even view it that way...its more of a virtual universe, and as such has its own dynamics.

 

i honestly think this guyis insane. oops! our server got destroyed! whats that? you spent $100,000 on a virtual resort? im sorry, we'll have to see a recipt...

 

hes either insanely rich, and has absolutly no life

Or is an absolute idiot, and Still, has no life.

£56!! Buy a real damn house you fool..

 

Well atleast the world wide advertising for his investment (and the game) was free, it will definately boost the ammount of players and overall in game economy.

The thing is, somone has to take that sorta risk if you want to get in realllly early on what could be big big money. Im sure people laughed at the earlyest forms of computers and what there future capabilitys might be.

On the other hand the game/company will probably flop in a year and take all those PEDs with it.

 

Where on earth can you buy a real house for £56,000??

This is probably going to turn out to be a sound investment for this guy. With 300,000 players he's only got to take an average of $0.03 from each player each year and he'll be looking at a 9% return. Then there's the capital growth - if he develops the station wisely and it generates consistent returns, he will definitely have a appreciating asset on his hands. And on top of all that, there's potential for advertising revenues.

I haven't played PE myself, but it sounds to me like he has got quite a large amount for his money - mining and hunting rights + a virtual mall to let out. Seriously, I'd be hugely surprised if he didn't make a very handsome return.

 

A thought just occurred to me. PE is a totally unique economy - it has the hallmarks of an emergent nation in that there is a lot that hasn't been bought up yet so is ripe for exploitation, and as the market has not achieved full liquidity the value of items has yet to be determined.

On the other hand, unlike an emergent economy, the participants in the PE economy are affluent westerners whose investment in the economy is generally a small amount of change by their standards, and is there to be spent for fun.

As such, the combination of an economy on a frontier and wealthy, free-spending 'citizens' means that entrepreneurial types in PE could stand to make a lot of cash very quickly.

 

Did you read the article? It sounds like he could make a lot of money of that investment, that game is half game, half job practically. With the 300,000 people putting $500 in a year, thats a lot of money to be earned.

 

grimsby apparently

 

In some places up north you can buy houses for less than £56K, in the south however, you can't even buy a beach hut for £56K, in fact one of my friend's grandparents (millionairs) bought a beach hut in hythe (nr So'ton) for nearly £250K, mind you, it even has electricity and hot running water!

 

£56,000 is doable up here. I've moved from the south, and houses where I originally lived were about 500k average. There's a severe price difference between the north/south.