A recent victim of intrusive advertising is the video gaming industry, in which a market has developed around ad- and product placement in the games. This industry exemplifies why advertising will not be destroyed.

Video game advertising is a developing market with an audience that grows by the gamer. In any media source, there is a certain ‘annoyance’ bar that advertisements must surpass before the people stop coming. The bar is especially high in the gaming realm where there is a split in the audience as to whether these ads are welcome or simply interruptive. Many welcome advertisements in genres such as sports and racing games, in which an ad-filled environment in the video game (however unfortunately) mirrors that of the real life environment being mimicked. Others are wary that advertisements will grow to interrupt gameplay. Players don't want to have to wait for Lara Croft to finish her Coke before continuing the next mission in Tomb Raider; however, some will love the presence of commercials in their Superbowl game in John Madden Football. This is a unique market in which our advertisement-filled society provides a positive feedback mechanism for games.

This situation can lead to either of two circumstances. The first of which involves gamers' reacting as have internet users, developing softwares or similar mechanisms to block unwanted ads. The video game, however, is to a higher extent a black box to current users than are the computer and the internet. This is another example of power switching to content providers and advertisers. Microsoft has invested in the failure of any end-user efforts to evade ads in their games. In May, 2006, Microsoft purchased Massive, Inc., a 60-employee video game advertising company with $7 million in per annum income, for an estimated $200 million. The company has gotten in on the ground floor of video game advertising, realizing that product manufacturer ad money is a resource that will never tap out.

A video game manufacturer's purchasing an advertising company for $200 million likewise indicates that a drop in video game advertisements is nowhere in site, which fits perfectly in the status quo because users have become less expectant of any advantage to be gotten from the insertion of ads. Gamers specifically will have either of the two reactions as aforementioned, neither one rebellious or anti-advertising. The Earthlink/PeoplePC/RoadRunner business model has changed consumer expectations to: the business (1) offers service for free; (2) recruits advertising revenue based on the eyes it has; (3) offers users an ad-free service for a price. Consumers will likewise expect no kickback from the ads, but will not be surprised to have to pay more for ad-free versions of the same game.. And in this unique context, video gamers are already paying $60 per game. This was the first year in which EA Sports put advertisements in its Madden football game (game players agree that this was all that changed about the game -- a necessary consequence since EA sports has an exclusive agreement with the NFL for licensing until at least 2011) yet the game outpriced and outsold its' predecessors. Why drop the price?

Some posit that the efforts of advertisers will ultimately fail into an ad-free-content world, when users (internet, video game, TV, etc) get so tired of ads that they either find a complete block or stop using the media altogether. Video game media has the "only game in town" aspect, in the fact that each game is so unique. Players of popular games such as Halo will not stop playing simply because the vehicles don Pontiac Branding, or because loading times are extended to fit GM commercials, especially not where the their life outside of the game is already a constant bombardment of ads. Advertisers and game manufacturers thus have unchecked power to throw ads at gamers. As gamers have no way out, advertisers will do this to the extent that the game is still playable -- an assessment that, as made by the advertisers and revenue-collecting game manufacturers, will probably include slightly more ads than gamers would consider "still playable." Sort of like how certain internet pages are unreadable with

The conclusion of this ordeal will ultimately depend on which side takes the reigns in affecting change. The listeners may stand up in various ways – using technology and other means to dodge advertisements until they are no longer cost effective for the advertiser. To the contrary, advertisers and content providers, dependent upon advertiser income, will do just as they have done in other media -- find new ways to get around these technologies to keep the audience’s eyes on the cash-producing prize. The conclusion will therefore be this constant race. The end of it is us against them. Society’s demand for new content will never decrease, as won’t content-providers’ desire to line their pockets with the perpetual surplusage of advertising dollars. Our coexistence will therefore be that race.

"If they chose to, I'm sure EA could sit back and do nothing," he said. "They dominated the market even when other games existed. Madden has become like a part of pop culture - so EA can do what they want." at http://media.www.diamondbackonline.com/media/storage/paper873/news/2007/08/29/Diversions/Lighting.Details.Gameplay.Madden.2008-2936904.shtml. Referred to as EA Sports has taken “what was once a static form of revenue with unchanging ads and sponsors into a constantly flowing river of fresh [advertising] content and more money.” The companies use the internet connections on which people network game, to send ads to the system, to be displayed in the game. Presenting the choice “more fun network gaming vs. cutting off my internet and havng more fun with friends in the room and no ads. I can’t have both. More ways to pay the price. Microsoft got $200 million for this project. Massive acts as a broker between companies that want to get their ads in front of gamers, and game publishers eager to tap new sources of revenue to offset higher development costs for flashy new titles that can cost $20 million or more to make.” At http://www.reuters.com/article/technologyNews/idUSN2421994920070725?pageNumber=1.

What will change? http://www.joystiq.com/2007/07/26/microsoft-putting-their-ads-into-madden-other-ea-sports-games/ With Microsoft making cash off of every ad in Madden and the other games, we imagine Sony and Nintendo are left with a difficult choice. Do they allow the ads on their console and put a bunch of cash in Microsoft's already considerable war chest? Or do they not allow the ads and walk away with nothing? If you're a conspiracy theorist, now would be a wonderful time to point out that the news comes almost exactly one week after Microsoft's Peter Moore moved to EA Sports, just in time for their companies to make sweet love and sweeter cash while Sony and Nintendo walk around the field stapling classified ads that they cut out of the newspaper to stadium walls. You know, just saying.

"We would love to do Nintendo and PlayStation? , but they control the platform, they control the ecosystem and they have to decide what to allow or not. It's not something that's in our control," Van Arsdale said. Comment that this makes it more real At http://www.joystiq.com/2006/05/05/microsofts-massive-acquisition-now-official/