Is user generated content the future of MMOs?

User generated content. Second Life is built on it. Other games are slowly taking up the banner as well and introducing the ideas of the players into their fold. Are we doing ourselves a favor, or are we starting to completely shoot ourselves in the foot?

MMOCrunch brought up the point that users are looking for a more customizable experience in their games and virtual worlds. They point to applications like Facebook and Unreal Tournament as examples of user generated content bringing in a huge audience and networking people like never before. Their article also goes on to look at why current MMOs don't go to the customizable lengths of these other applications. Problems stem from challenges in programming to the core inability for user generated content to be brought into a world where your actions drive a centralized plot line.

However, we're seeing it more and more in each game we create. City of Heroes / Villains is well known for it's advanced character creation engine. Of course, that same character creation engine got them into a bit of trouble with Marvel. Pirates of the Burning Sea has engaged a feature that allows players to make their own emblems for their ship's sails and flags, but each emblem submitted needs to be cleared by Flying Labs first. One could even go so far to argue that the many user interfaces and modifications for World of Warcraft are pieces of user generated content.

But so many questions arise from the addition of user generated content. Copyright infringement possibilities, mature & inappropriate content issues, ESRB ratings, and lowering the difficulty of the game are all valid arguments. I could go out on a limb here and say that user generated content can completely ruin the aesthetic of the game, very similar to the introduction of in-game advertising. You may not like having your work compared to a cruddy advertisement, but both have the possibility of having the same illusion shattering impact on the virtual landscape.

So, where do we go? Should developers put stringent limits on the type of content they let in their games? Should we just open the worlds up completely to user content and take a laissez-faire attitude to user content? Should we take the middle ground and use in-game engines to determine what kind of content the user can and can not create, or will even those be exploited by ne'er-do-wells?

I implore you, Massively readers, discuss.