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Are virtual worlds more or less effective for virtual team collaboration? We suggest that the answer to this question is complicated and dependent upon a number of factors, and we propose a research agenda with theoretical bases to guide researchers in the area of virtual team collaboration for the next seven to ten years. While virtual teams are increasingly used by organizations, there has been little systematic research done to understand how collaboration in virtual worlds compares to collaboration supported by other media, or how characteristics of virtual teams influence the collaboration process and outcomes. The research agenda that we propose looks at basic differences between virtual worlds and other media, but also includes consideration of the specific contextual factors, and the influence that leadership might have on the collaboration process and outcomes.