A new deal between a game maker and an advertising company highlights the
growing enthusiasm for securing and placing ads in online video games.

Games Inc. and Double Fusion have struck a multiyear deal to have
dynamic ads placed in online video games that will play on
next-generation consoles such as Microsoft’s Xbox 360 and Sony’s
PlayStation 3. The games in the deal included "Stranglehold" and other
titles currently in development.

just-announced deal between a game maker and an advertising company
points to the growing phenomenon of placing ads in video games,
including those of the online variety.

Despite this promising development, a recent survey of AD:TECH attendees by MarketingSherpa
showed that in-game advertising was well down the list of advertising
tactics they will be spending money on in the near term. However, the
same attendees noted that they anticipate a dramatic increase in video
game ad spending by the end of the year and into early 2007.

However, the Yankee Group, in another survey, points to robust growth as we head toward the end of the decade:

More here.