Some bad news for educators in Second Life®, not just ones who own their own islands. In 2011, the educational/non-profit discount of half-off the regular price of an island ends. This will push many institutions out. Many will try to develop something in OpenSim; some will be able to host their own VWs. There is a kind of frenzy in the online communities right now, with a lot of doom and gloom predicted. Even those of us who lease land will be affected by the loss of community. If education in virtual worlds is fragmented among many open source options, it will be to the detriment of educators who currently collaborate.
We lease our small parcel from the New Media Consortium, and what will happen to their leasing rates?
Is the time right for us to dabble in hosting our own VW? I don’t know the answer to that, but I guess we will find out soon.
Wandering 
what seems like bad news may be a blessing in disguise. Second Life was the only option a few years ago. but that came at a steep price (literally as well!), in the terms of service you abandon your intellectual property protection to Linden Lab
also, many educators unintentionally violate FERPA by discussing grades in-world. since those conversations (voice and text) are recorded and maintained on Linden Lab servers you are fully breaking FERPA if you are in the US
the migration to OpenSim is not as painful as many would think and it is an opportunity to expand beyond the SL paradigm
having your own dedicated server means many more possibilities with integration that simply were not possible inSL
good luck! =)