Microsoft is thinking about a new way to generate revenue from ads and share it with developers. According to a report from Business Insider, the company wants to launch a new ad program where brands could place their spots in free Xbox games.
Apparently in the third quarter of this year, these types of ads could appear on in-game billboards in racing games. It’s also possible that avatar skins or video ads are also a possibility, though Business Insider says it’s “unable to learn” if this is indeed planned.
Microsoft has been working on this plan since 2018 and is currently looking for adtech companies that can help with their business. Business Insider’s sources also say that Microsoft won’t take any part of these ads and is more interested in building the Xbox ad network so that revenue is shared by game developers who create free games.
As for concerns that this will spread to too many games, Microsoft is also reportedly working on a “private market” for these ads. This is so that only certain companies can put their spots, without disrupting gameplay, and so that customer data can remain safe without players being targeted.
Microsoft already allows advertisers to place their spots on the Xbox Dashboard or place in-game ads through Yahoo and Anzu. Asked about this rumor by Business Insider, Microsoft said it had “nothing else to share”. Instead, the company mentioned that it is “always looking for ways to improve the experience for players and developers.”
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