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5 million per month from subscription fees alone, which indicates the extremely large profits to be made from childrens virtual worlds. Two key differences that separate virtual worlds from other video games are that virtual worlds are both persistent and dynamic Lastowka and Hunter, 2004: 56. This means that even when the player is not in the virtual world, the virtual environment continues to exist and change over time Rogers 2008: 407; Castronova, 2005: 80. Virtual worlds heightened sense of interactivity is another important difference between video games and virtual worlds. Jenkins 2009 states that ideo games like Zelda, Halo, or Harry Potter allow players to enter into an environment and interact with objects, but they dont allow the player to create an environment and thats what virtual worlds are all about. But it is precisely their persistence, dynamism, and heightened sense of interactivity that we argue lead to the ill effects of virtual worlds.
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We currently intend toretain our future earnings to support operations and to finance expansion and, therefore, we do not anticipate paying any cashdividends on our common stock in the foreseeable future. Youwill experience immediate and substantial dilution as a result of this offering and may experience additional dilutionin the future. You will incurimmediate and substantial dilution as a result of this offering. After giving effect to the sale by us of $1,000,000 of sharesof common stock in this offering as part of the Units at an assumed public offering price of $1. 00 per share, investors in thisoffering can expect an immediate dilution of $0. 956 per share, or 96% at the assumed public offering price. To the extent thatthe warrants underlying the Units are ultimately converted or exercised, you will sustain further dilution. We may also acquireother technologies or finance strategic alliances by issuing equity, which may result in additional dilution to our stockholders. We could issue blank checkpreferred stock without stockholder approval with the effect of diluting then current stockholder interests and impairing theirvoting rights, and provisions in our charter documents could discourage a takeover that stockholders may consider favorable. Our certificate of incorporationauthorizes the issuance of up to 10,000,000 shares of blank check preferred stock with designations, rights andpreferences as may be determined from time to time by our board of directors. Our board of directors is empowered, withoutstockholder approval, to issue a series of preferred stock with dividend, liquidation, conversion, voting or other rights whichcould dilute the interest of, or impair the voting power of, our common stockholders.
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