The Electric Sheep company, one of the early hawkers of Second Life to fad prone corporate marketing types, gave 22 employees pink slips for Christmas.
Read more [HERE].
The article is from Second Life's Reuters bureau, which is run by Electric Sheep, so to be fair they are trying to be transparent I guess. My view is that Electric Sheep will survive, and actually are positioned to do well for the future as they expand into another arenas. Just the early experiments with corps in Second Life where just that, experiments that, as in my opinion Electric Sheep knew, where pretty doomed to failure. They took a lot of willing customers with big wallets for a ride. At the same time, both the customers, and Electric Sheep gained from the experience. Corps will be wiser as they invest in virtual enterprises, and Electric Sheep did learn valuable lessons that will be able to be transferred to other platforms. The big question is whether or not alternatives to Second Life will mature fast enough to keep Electric Sheep large enough to survive as is as virtual worlds develop.