From latimes.com:
Walt Disney Co. is no stranger to fantasy worlds, transporting audiences — whether to a cottage in the woods with a young princess in “Snow White and the Seven Dwarfs” or to the Great Barrier Reef aboard the Finding Nemo Submarine Voyage ride at Disneyland.
Now, Disney is spinning its tales in the newest mass medium — online virtual worlds, where children adopt cartoonish avatars and play games.
Disney and other entertainment companies are rushing to capitalize on the latest Internet phenomenon: the rise of virtual worlds for kids. Online haunts for grown-ups, such as Second Life, grab the attention of corporate marketers. But digital playgrounds for the juice-box set — such as Disneys Club Penguin and Ganz Inc.s Webkinz — are drawing bigger crowds.
As many as 20 million children and teens will visit virtual worlds by 2011, up from 8.2 million in 2007, according to research firm EMarketer Inc.
“Youre seeing a more than doubling in projected growth, between 2007 and 2011, in the number of kids and teens visiting these worlds,” EMarketer analyst Debra Aho Williamson said. “Thats why youre seeing Disney making so many investments. . . . All the major media companies are making virtual worlds a big focus of their activities going forward.”
Some parents and advocates worry about the commercial aspects of these sites, which either charge a monthly subscription fee, serve up advertising or both. Several sites, including “Pirates of the Caribbean Online,” offer a basic game for free but require payment for more advanced play.
“Its sweet-tasting candy that kids are going to want to have,” said Warren Buckleitner, editor of the Childrens Technology Review. “Give a free sample. Once you get started, its hard to stop.”
Online games that invite multiple players into virtual worlds have been around for more than a decade. Whats new is the increasingly younger audience. Disneys Toontown Online was among the first to target tots, but since then, Mattel Inc.s BarbieGirls.com, Nickelodeons Nicktropolis and others have popped up, attracting children as young as 3.
Disney plans to spend $5 million to $10 million apiece to develop as many as 10 virtual worlds built around familiar Disney characters and franchises.
“Were creating virtual theme parks, but much more accessible,” said Steve Wadsworth, president of Walt Disney Internet Group. “You dont have to get in a car or a plane.”









