So you've been reading, seeing and hearing all the hype about Second Life, but you're not really, exactly, completely sure... um... what it is. Or why you should care.

I may be able to help. Catherine and I are releasing Social Signal's white paper Second Life: What it is and why it matters today, free for the downloading. (It's a PDF, about 450 kb in size. It's also a pretty quick read, so it's perfect as a crib sheet before your next chichi cocktail party, where you'll be the one who doesn't have to fake-nod-and-laugh their way through the inevitable Second Life conversation.)

But let me spoil the ending. Here's why Second Life matters:

• It's a big community, and growing quickly: from 100,000 user accounts at the end of 2005 to well over 2 million today. That's a lot of people.
• It's social. You can quickly develop an extensive network of contacts, professional and personal, using everything from Second Life's built-in interest group functions to chance encounters.
• It's a community of open-minded, motivated users. Second Life residents are coming to that world expressly to engage, and its very nature encourages active participation.
• It's instantly ready for e-commerce. Whether you want to raise funds or sell virtual widgets, you can set up shop quickly and easily without getting entangled in merchant accounts or security certificates.
• It's a no-to-low-cost way to collaborate and communicate. Your team members can join each other quickly and easily from around the world, whether for an informal chat or a two-hour meeting.
• It's an ideal space for innovation and experimentation. The informal rules and economic structure of Second Life are still shifting, and the opportunities for social and technological innovation abound.
• It's a uniquely rich experience. Think of the intensity of video, the interactivity of the web, the intimacy of face-to-face contact – combined. Now think of how that level of communication can enrich your engagement with an audience.