Virtualizing Our Childhoods - There's Money to be Made

January 28, 2008

Here's a couple of my childhood memories for you. Today, they've been virtualized. And monetized.

Shooting Up the Neighborhood
The kids in my neighborhood would get home from school, crank out the homework and household chores, then bail outdoors in all kinds of weather and play some version of battle games, be it "cops and robbers", "cowboys and Indians", "World War II", etc. In addition to politically incorrect game names, we'd use toy guns and plastic knives and swords to pretend-shoot each other and pretend-hack each other to bits -- all in good fun and while using vocabulary that our parents didn't care for. I'm sure the toy makers made a modest profit from our recreation.

Just last night, my son (age 14) approached me and announced that his homework was done, his room was straight, he was ready for his tests, etc., then asked if he could get on his Xbox 360. After I had him help with the dinner dishes, he headed upstairs much like I would head out the front door when I was 14. I went upstairs a little later and he was logged on to Xbox Live with the voice headset running and he pointed out that about 11 of his hockey teammates were also online and playing Call of Duty 4. So instead of pretend-shooting each other outside in the cold January air, they all get together online and do it. Don’t ask him what kind of language gets used either – it’s probably the same as my generation. From what I understand, the toy makers in this case make a lot more money than those of my youth.

Passing Notes at School
In yet another politically incorrect part of my upbringing, somewhere around 5th and 6th grade, somebody thought it would be a good idea to pass ballots around the classroom. They’d write a question at the top of the page along the lines of “Do you like Gary?” and they’d put two columns below. Other kids would sign under the “yes” or “no” columns depending on how they felt that day.

This is basically virtualized with Facebook, Linked In, and Plaxo. We get prompted to accept others as friends and recommend each other with these networking tools. With all the applications, pictures, messaging and so on these go way beyond our childhood note-passing but the concept is the same. Virtualizing this concept has unlocked untold riches. How much? Microsoft’s investment in Facebook extrapolates the value of Facebook to be $15 billion. That’s a nice chunk of change for virtualizing the passing of notes at school.

All This Virtualization Requires Servers – We’ve Got ‘Em
As I’ve mentioned before, I’m not real good at whiteboarding new ideas. Tell you what – you think of something from childhood that can be virtualized into billions in valuation, and SoftLayer will provide the servers and connectivity you need to achieve it.

-Gary

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