Microsoft plans to insert ads in free Xbox games

According to the latest report, Microsoft is considering a new way to generate revenue from advertising and share it with developers. According to a report by Business Insider, the company hopes to launch a new advertising program that will allow brands to place ad content in free Xbox games.

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Expect these types of ads to appear on billboards for racing games in the third quarter of this year. Ads in the form of avatar skins or videos are also possible, although the exact form has not been confirmed.

Moreover, Microsoft has been working on the program since 2018 and is now looking for ad tech companies that can help its startup. Sources also claim that Microsoft doesn’t take a cut of these ads, but is more interested in building an Xbox ad network so developers making free-to-play games can earn revenue.

As for concerns about whether it will affect too many games, Microsoft is also said to be building a “private market” for these ads. This way, only selected companies can place their ads without disrupting gameplay, and customer data can remain safe from targeting gamers.

Furthermore, Microsoft already allows advertisers to place ad slots on the Xbox dashboard, or through Yahoo and Anzu to place in-game ads. But when Business Insider asked about the new rumors, Microsoft said it didn’t have “any further content to share,” instead of mentioning that it’s “always looking for ways to improve the player and developer experience.”

(via)