Second Life is in the news yet again this week, although this time not because of virtual adultery, but because $10,000 is up for grabs for canny developers.

Linden Labs is calling on freelance developers to build Second Life's greatest ever application or in-game project that will improve the lives of the virtual world's residents when they are offline, with a $10,000 carrot for the feature that wins out.

The Linden prize-winning app needs to help Second Lifers "work, learn and communicate".

Second Life Grid

It also needs to be in the spirit of work being done on the virtual app building Second Life Grid.

In September, for example, Linden Labs announced a new voice and IM tool that lets residents communicate with other residents whether or not they are in-game.

Judges will be anonymous and developers (who need to hold a Second Life account) will need to get their entries in by 15 January 2009, with the overall Linden Prize winner to be announced in April.