EOTB: Linden Lab To Raise Premium Account Price, Lowering Linden Dollar Buy Fee, Sim Monthy Fees

 

Yesterday on Monday June 8, Linden Lab announced some price changes. Good news if you keep buying Lindens or own one or more sims. But if you're a Premium Resident, some bad news. 

 

First the bad news, which the Lab called the reason for "adding more value to paid membership plans." The cost of Premium will be going up from $11.99 USD a month to $12.99 a month. If you pay by the quarter or year, the price will be a little less. If you pay every three months, the price will be going up to $11.99 USD a month or $35.97 per quarter. If you pay by the year, the rate will be going up to $9.99 USD a month or $119.88 annually. There was some fine print at the bottom of the announcement saying that the option to pay quarterly is no longer available "for new purchases."

 

The last time Premium accounts went up in price was over seven years ago from $9.50 a month, in May 2019, which the Lab then called "the difficult decision to make our first Premium price increase in over a decade." Their language back then was more direct than the wording in Monday's announcement. 

 

The price increase is not immediate, but will take place thirty days after the announcement, on July 8, 2026.  

 

The costs for Plus and Premium Plus level accounts. $5.99 and $29.99 USD a month respectively, which were introduced after the previous price increase, are not changing.  

 

Not all of the news was bad. Linden Lab announced that the minimum fee to purchase Linden dollars would be going down from $1.49 USD to 49 cents. 

 

But, there was a catch. The Lab would announce the ceiling rate, the maximum buy fee, was going up from $14.99 USD to $29.99.  The benefit of making fewer purchases of more Linden dollars instead of more smaller ones is being reduced. 

 

The fee changes Linden Lab wanted to emphasize the most is what will likely affect the smallest number of residents (albeit so much of the Grid as we know it depends on them).  The price of maintaining a sim will be going down from $209 a month to $199 a month. Sims whose prim capacity has been expanded to 30,000 will drop in monthly maintenance from $239 USD to $209. For a sim with an education discount, the monthly rate to maintain it drops from $129 USD to $105. This is a decrease of almost a fifth. So good news for those paying for education areas. The setup fee of $349 USD will not change. 

 

Linden Lab would justify it's increase in Premium accounts by saying they were "adding more value to our plans. In the past month alone, we’ve added two valuable new benefits - exclusive early access to some of the hottest shopping events in Second Life and at least 12 exclusive gifts monthly, which is the largest collection of exclusive paid membership monthly gifts ever!" They also stated they were offering "Expanded access to Linden Homes, Premium customer support benefits, more subscriber-exclusive virtual gifts than ever before," and "New partnerships offering early access to some of Second Life’s hottest shopping events and experiences."

 

A thread opened in the official Second Life forums on the announcement.  While there was some praise for making land more affordable, most of the comments were grumbles about the greater cost for Premium accounts. "They're getting greedy again and want to milk Premium a little more if they can, or push more people to go for (Premium Plus)." "'Expanded access to Linden Homes' ... so what, in fact, what does that even mean?" "Given that just about everything in real life has gone up a lot in price in recent times, it's hardly surprising that LL has put its fees up."

 

To see the blog post in full, Click Here.

 

Bixyl Shuftan 

 

Lower Sim Tier, Higher Linden Dollar Purchase/Sell Fees Announced, Residents Can Now Pay Tier With Linden Dollars

Linden Lab had some good news and bad news a few days ago in regards to the fees it charges, good news for sim owners, not so good for the rest of us. 

The good news, if you own a sim, your expenses are going down. The Lab announced it was dropping sim tier by $20 USD a month. 

 

In recognition of our upcoming 20th anniversary, we are ... Dropping the monthly price of Full Regions by $20 for our 20th anniversary – effective immediately, Full Regions are now $209/mo.  

As the chart shows, this is the third sim tier reduction in five years, with sims now being $81 USD less a month than they were in early 2018. 

The Lab would also announce that people could pay for a sim using Linden dollars in what's being called the "$L For Land Beta Program." (see more below).

The bad news, fees for buying and selling Lindens are going up. The Lab would say this was partially due to the expected loss of sim tier revenue, and partially due to inflation increasing their operating costs.

This latest land price reduction, increased development of Second Life features, improvements, and an unfortunate combination of world-wide economic factors including inflation, all bring additional costs to our operations. We’ve spent time considering ways to manage these costs to minimize the overall burden on our Residents. We decided to absorb many of the costs and distribute some by making a change to Linden Dollar buy and sell fees. Effective today, we are changing LindeX fees as follows:

• Increasing the buy fee to 10% with a minimum fee of $1.49 and a maximum fee of $14.99USD per transaction
• Increasing the sell fee to 5% 

This is the latest of several Linden dollar purchase fee increases since June 2017, when they went up from 40 to 60 cents per transaction. Later that year, they would be raised from 60 to 99 cents. In June 2018, they went up from 99 cents to $1.49 per transaction. In April 2021, they went from the $1.49 flat fee to a 7.5% fee that could go no lower than $1.49. 

 

The fee for selling Lindens hasn't been changed as much. They had been 1.5% several years ago, then in Nov. 2017, then went up to 2.5%, and later to 3.5%.

Of the good news that residents can now pay sim tier with Linden dollars, thus for those making Linden dollars able to avoid the cashout fees, there are a few strings attached. The Lab would describe them on a webpage (link). To begin with, it's a trial system that might get canceled after six months. Also, at least for now, only Premium Plus accounts are eligible to take part, and only one sim can be paid for this way. Skill gaming (technically legal gambling) sims are also not eligible, at this time.

Linden Lab would also post a chart of how many Linden dollars would be needed to pay for the various kinds of sim, a regular full sim costing 57,475 Linden dollars a month. To set up these kinds of payments, one has to travel to the "Land Payments" sim, go in the office, find a kiosk, and follow the instructions on the website. 

There's a thread in the official forums to the topic, which as of the writing of this article has 17 pages so far, so discussion has been active.

 

Addition: Although the price changes were supposed to take effect right away, I was contacted by someone saying her sims are still showing the old prices. 

Bixyl Shuftan

Number of Second Life Users Down to 800,000, But ...

Earlier this month, Backchannel Magazine wrote about the Creations for Parkinsons area, a article that Barbie Alchemi mentioned in a press release. The article gave it's population, or user base, estimated to be at 1.1 million in 2006. In 2013, Linden Lab claimed an active user base of one million. And today, Backchannel stated "An estimated 800,000 users are active on a monthly basis," saying they were told by Linden Lab. While there are a total of almost 50 million accounts according to Daniel Voyager's Second Life Statistic's page, it's not clear how many are alt accounts.

Eight hundred thousand seems small compared to Facebook, which Backchannel stated as having close to two billion users. World of Warcraft, which came around about the same time as Second Life has sometimes been used as a comparison as to how virtual reality hadn't quite caught on the same way as massive multiplayer online games, boasted a total of 100 million accounts (in 2014) with up to over 12 million active players. But it didn't last, and it's numbers of active players dropped to 5.5 million in late 2015 when it's owners announced they would no longer be publishing reports of active numbers. It's probably safe to assume it's dropped further.

Hamlet Au suggested recently in New World Notes that this lower number of active users may not be what it seems at first. Talking with Peter Gray (Pete Linden), he was told, "We've made a number of optimizations to our user acquisition efforts to get more qualified traffic ... As a result, though the total number of monthly actives has come down, the number of paying SL users has held steady."

In layman's terms, Pete Linden says the Lab has changed their advertising to get people more likely to stay and spend time and money in Second Life. Hamlet went on to say he's felt it's more active users numbered closer to 600,000 for some years, "So most likely, dropping from 1,000,000 to 800,000 reported users isn't so much a loss of actual people as a trimming of marketing fluff."

What do you the readers think? Have you noticed fewer people coming in, or has the number of those people leaving been replaced by new users coming in?

Sourcres: Blackchannel, Daniel Voyager, New World Notes

Bixyl Shuftan