Tim Stevens, CEO of Doppelganger, hopes the online world will become a destination for teens and young adults who want a next-generation entertainment experience.

I don't know who is going to score big in this space. But it's clear that virtual worlds such as the millions-strong Second Life, run by San Francisco's Linden Lab, aren't the be-all and end-all of online entertainment. Vside, for instance, is shooting for higher visual fidelity in the urban scenery and more fluid animations of its virtual characters.

Doppelganger is trying to put together all of the ingredients to unseat its rivals. The challenge for its Vside world is that other entertainment and social-networking sites already have huge momentum. There is so much competition for the leisure time of young people that it will be hard to rise above the noise. The rivals for entertainment time include Second Life, There.com's "Virtual Laguna Beach," Vivendi's "World of Warcraft," and the upcoming "Home" virtual world built around Sony's PlayStation 3.

The company recently announced that it was going live with an expanded music-oriented virtual world full of fashion sites, night clubs, movie theaters, concert venues and customizable apartments. It also announced a round of funding - bringing its total raised to $25 million - from venture capitalists. Already it has deals with Warner Music and Interscope to bring musicians into the world, and Doppelganger is working on a separate project with MTV.

The world is built around partying with live music and interacting with a lot of real-world celebrities and cool youth brands. At any given time, 40 different Internet radio stations are blaring music at various nightclubs in the densely packed city that recreates the vibrancy of places like the Sunset Strip or Times Square. Inhabitants of the world create their own avatars and buy stylish fashions with virtual currency, dubbed "creds," that they use real money to buy. They're rated on their stylishness by other players. If they earn enough points the players can climb the social ladder and gain access to VIP parties and nightclub areas.

"The ideas here come from TV, video games and social networking," Stevens said.

Stevens, who joined the 3-year-old company a year ago, hired architects to create the neon-lit virtual urban landscape. Doppelganger allows users to upload their own music, to be played in clubs. Or to support fledgling bands with fan groups. But, in contrast to Second Life, Doppelganger controls everything that exists in the world.

That allows them to protect brands, such as the youth clothing line Rocawear, that serve as sponsors. And it keeps the PG-13 world relatively safe for teenagers; its chat system prevents them from using profanity and the animations prevent "virtual sex" between avatars in hotel rooms or lofts. You can chat with anyone using a keyboard, but you can give the cold shoulder to those who harass you and call a virtual bouncer if necessary.