Yesterday at the morning Second Life mentors' meeting, Linden Lab staff announced that Linden Lab's sponsored mentor group, which had been functionally closed (in all but name) for approximately a year now, would finally be disbanded in practice. The move doesn't really come as much of a surprise to observers of the Lab's sponsored volunteer programs over the last eighteen months.

Almost immediately more ex-mentor Second Life social groups than we could comfortably count sprang up, as people prepared to maintain their network of contacts without the overarching group umbrella. While there was surprisingly little actual yelling, some members of the organization feel the blame lies squarely at the feet of Linden Lab's CEO Mark Kingdon, though there's not a lot of apparent evidence to justify that.

Virtual environment operator Linden Lab has partnered up with 888 Holdings plc's Gisland/Dragonfish division to provide payment processing for non-US Second Life customers.

A spokesperson for Linden Lab told us, "We're working together with Gisland on a cashier interface and other tools that will give Residents more payment options and make it easier for Residents to pay in a wider range of native currencies than they can now. Gisland will also help Linden Lab implement appropriate anti-fraud measures as we expand these payment options. In addition, Gisland will assist Residents directly with payment-related issues, including failed transactions."

That last part is fascinating, as that would be something of a first insofar as Second Life payments processing goes, as is the tantalizing hint of expanded payment options – something that is of considerable interest to users outside North America.

Mark Kingdon, Linden Lab's CEO, has been a bit of a mystery figure since his appointment about a year and a half ago. While he has not been uncommunicative, it's been hard to get a very good sense of the man at the helm of Linden Lab, his passions, interests and direction.

We were very pleased, therefore, when he took the time to sit down with us and answer a whole grab-bag of questions, about himself, about Linden Lab, and – of course – about Second Life. Bear with us, because we've got a lot of ground to cover.

Over the last few days, Linden Lab CEO Mark Kingdon, and Lab director of Marketing and Communications, Catherine Smith have been in Europe, where Kingdon is reportedly seeking office-space for Linden Lab in Amsterdam. The office is intended to start as a small marketing headquarters for Linden Lab.

At NIMK, Catherine Smith told De Hoeksteen Live! that Linden Lab was planning to launch the new office in January next year.

Linden Lab's marketing efforts for Second Life hitherto have largely focused on placement of speakers at conferences and events, and – prior to 2008 – on minor registration incentive programs. More recently, efforts have focused on the revamped Web-site and assorted press-materials and white-papers.

It seems these days that you can't have a Linden Lab employee give a speech to Second Life users without some included warning label of rough times ahead for them. It's almost relentlessly axiomatic nowadays.

At this year's Second Life Community Convention, Rosedale gently urged users and Lindens to support some necessary changes to come: "Try to work with us. Let go a bit." Ironically, he has encapsulated the same core message that Second Life users have been trying to get Linden Lab to hear for the last several years.

Taser International Inc have filed a lawsuit against Linden Lab (and others, including some present and some departed) staff. We got a hold of the April 17 complaint yesterday, and have been going through it since then. We've got a summary of the complaint and issues for you, but we won't be linking to the complaint due to the presence of what may be considered to be pornographic images in Exhibit 2. The "crack den" reference in the headline is a recurring phrase in the legal complaint. You'll see why.

If you want the one-sentence summary, Taser seem to have failed to do their homework and basic research, but their case doesn't seem to be entirely without merit either.

Catching up with Linden Lab and Second Life founder and chairman, Philip Rosedale isn't an easy task. We've certainly been trying for years. Having crossed-off most of the plans that didn't involve some sort of indictable body-tackle outside of the Lab's offices in San Francisco, we were beginning to despair somewhat.

However, despite a very full calendar and a busy work-schedule, we unexpectedly wound up with an opportunity to put a few questions to Rosedale, arguably one of the most notable figures in the virtual environments industry, this decade.

Often referred to affectionately as the "Old Man" of Second Life, Rosedale is a hip and handsome fellow, calling to mind a younger Richard Garriott back in the day, and considerably younger than many of Second Life's most-active users.

After Linden Lab CEO Mark Kingdon's announcement of a standalone virtual world product (essentially Second Life, but able to be run on private servers and with no connection to Linden Lab's virtual world) at the last Virtual Worlds London, the Lab's new director of enterprise marketing, Amanda Van Nuys has followed that up with an announcement that the product (codenamed Nebraska) is now in preliminary testing by a number of organizations.

The beta test (Linden Lab calls it an alpha test, but there's no denying that it is a preliminary beta) is being conducted by such organizations as IBM, the Naval Undersea Warfare Center (NUWC), the New Media Consortium (NMC), Intel, and Northrop Grumman.

After almost seven years at Linden Lab Robin Harper, the Lab's Vice President of Marketing and Community Development, has given notice of her impending departure from the company.

Harper, who arrived at Linden Lab from game company Maxis, was nominated as one of Edge's 100 Most Influential Women in Gaming in 2006, and in 2007 we considered her the one person Linden Lab and Second Life could least afford to lose. While we still believe that was a correct call at the time, times obviously change.

The Lab has been undergoing significant shake-up at the executive level, particularly in the last six months, as new Lab CEO Mark Kingdon has been completely overhauling management of the company, and given the rate at which Kingdon has been restructuring the executive, this doesn't come as much of a surprise.

The lineup of staff at Second Life virtual environment developer/operator, Linden Lab changes on a month by month basis. There's been a bit of motion since the last high-profile hire.

Judy Wade, formerly Entrepreneur-in-residence at Kapor Enterprises Inc, has been hired as the vice president of Strategy and Emerging Business. That's the same Kapor as Mitch Kapor who has a seat on the board of directors as the Lab.

Eric Argel, formerly director of Information Architecture at Organic Inc San Francisco, is now director of Information Architecture at Linden Lab. That's the same Organic Inc where newly minted Linden Lab CEO, Mark Kingdon came from.

Newly minted Linden Lab CEO Mark Kingdon has recently been talking about somehow incorporating Teen Second Life into the broader Second Life environment, though no details or plans have yet emerged on how that would happen. At a Metanomics session on Monday, Lab chairman and founder Philip Rosedale sparked considerably more speculation, though his comments on the matter didn't actually provide any new information.

The last time we asked Linden Lab about plans to bring adult and teen users together (more than a year ago now), the Lab said that it had no plans or intentions of doing so in the foreseeable future. That appears to be changing, though it isn't clear if the Lab has any ideas of how to bring it about.

November metrics for Linden Lab's virtual environment, Second Life are available for examination. September and October were relatively poor months, and November's results don't look great at all.

In fact every one of Linden Lab's key metrics fell in November. Land size, user-hours, transactions, PMLF. The only gain is an infinitesimal increase in the Linden Dollar exchange rate of 0.3%.

October metrics for Linden Lab's virtual environment, Second Life are not yet formally available, but Lab CFO John Zdanowski wound up giving out a link to the information in advance, so we have the figures to work with. September was not a good month by these metrics, and we were interested to see how October panned out.

Your key takeaways for October are a continuing plunge in premium accounts, and a reduction in overall economic activity. User hours, however were up. A more detailed summary follows after the jump.

Much has been made of a statement recently by Linden Lab's new CEO, Mark Kingdon, that 'Premium subscriptions are immaterial in our overall business.' You see, in a sense that's pretty much spot-on. Unless a premium account owns more than 512 square metres of the Linden Estate (colloquially known as the Second Life Mainland), that account is either only very small revenue for the Lab, or actually represents an ongoing cost to them.

Linden Lab's CFO, John Zdanowski said, 'The revenue we generate from premium subscriptions is largely offset by the stipends we pay out to these account holders, so this decline doesn't have a material impact on our business.'

Either you're on an older premium account with a 500 Linden Dollar per week stipend grandfathered in, or you're on a newer premium account with 300/week. There's also a choice of plans, ranging from monthly to annual. Let's take a look at the relative values.

One of the latest additions to the Linden Lab team is Amanda van Nuys, now the director of Enterprise Marketing at Linden Lab. I don't think there's any prizes for guessing that van Nuys was hired by Mark Kingdon, the Lab's new CEO, as she spent five and a half years as vice-president of Corporate Marketing at Kingdon's old haunt at Organic Inc.

'I'm leading the marketing charge when it comes to how companies can use virtual world technologies -- powered by the Second Life Grid -- to communicate, collaborate, and learn,' said van Nuys, 'Needless to say, the possibilities are endless and the timing is perfect. With the current economic downturn, companies are going to be searching for ways to reduce costs (particularly travel), increase innovation, and conduct business in more eco-friendly ways.'

Opinion is divided at the moment on whether the economic downturn pushes enterprises towards or away from virtual worlds. It might be another six months before we really start to see an indication of which. Nevertheless with the Enterprise Marketing team continuing to grow at the Lab, it doesn't seem like a stretch that Kingdon would poach someone with a skillset and record that he knows well.

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