Microsoft Acquiring Massive

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Microsoft announced today that it is working to acquire Massive Inc, a company that inserts advertising into games.
Microsoft has prioritized inserting advertising into Xbox Live! and MSN Games.

Microsoft is excited that this offers an opportunity for advertisers to connect with the 18 to 34 year-old demographic, but claims it will "allow for only those ads that add realism and entertainment value to the overall game experience, not those that might detract from gameplay." So what ads add to realism? Also in Microsoft's words, ads "on soft-drink cans and pizza boxes, on billboards and posters, and in images on TV screens – where gamers would expect to see them in real life, adding realism to the overall gaming experience." In other words, expect a lot more ads now that Microsoft's power is behind Massive.

Microsoft also plans to use Massive's talents to insert ads into casual games and MSN Messenger to target to casual female gaming audience of women over 35.

Why is all this happening? Companies will capture revenue wherever they can, but Microsoft emphasized the need to offset "skyrocketing costs of video game development." In-game ads are just going to increase unless they stop hordes of gamers from purchasing new titles.

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This page contains a single entry by Editor published on May 4, 2006 3:52 PM.

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