Nothing comes for free, and that especially applies to free-to-play games which look to be adding another potential revenue stream.
According to Business Insider (via IGN), Microsoft is reportedly looking into letting advertisers insert ads into free-to-play Xbox games with plans to launch this program by the third quarter of this year.
How these ads would show up isn’t clear. According to the report, one such possibility is rendered billboards in a racing game or open-world adventure. Others could extend to avatar skins or video ads.
What’s key here is Microsoft reportedly doesn’t intend to take a cut of the advertising revenue, rather it will be shared between the game developer and the respective ad company. The advantage to Microsoft is to build out Xbox’s in-game advertising network and identify which companies and ad agencies they want to work with.
Microsoft does already sell limited ad space on its consoles via dashboard ads and certain in-game advertising deals through third parties.
The report indicates they are very concerned about potential backlash from consumers as, unlike mobile players who have to endure countless in-game ads, console players aren’t so accustomed to it.
So only ‘select brands’ will have the ability to buy ads, and Microsoft reportedly intends to be careful to not ‘irritate’ players or disrupt gameplay and so will proceed cautiously.
