The IGA industry is large and growing. In 2009, spending on IGA was estimated to reach $699 million 
The earliest known IGA was the 1978 computer game Adventureland, which inserted a self-promotional advertisement for its next game, Pirate Adventure. The earliest known commercial IGA occurred in 1991 when a spot for Penguin biscuits appeared in James Pond – RoboCod.
IGA can be integrated into the game either through a display in the background, such as an in-game billboard or a commercial during the pause created when a game 
 Static in-game advertising
Similar to 
A number of games utilize 
 Dynamic in-game advertising
Increasing Internet connectivity and bandwidth has increased the use of dynamic IGA, which allows the game manufacturer or its advertisement vendor to deliver advertisements remotely, update advertisements after the game is launched, and target advertisements based on time or geography.
 Advertising in online-only games
 Freemium and free-to-play
Pay-to-play games charge players to access the game content. Depending on the game environment, some pay-to-play games feature IGA. For example, 
Virtual worlds and MMORPGs may host persistent online advertisements by allowing marketers to purchase virtual real estate. Aside from establishing a brand presence, companies can use it to test future real-world locations. For example, Starwood Hotels & Resorts Worldwide established the aloft hotels within Second Life prior to the completion of its real-world counterpart.
 Advertising industry reaction to IGA
The advertising industry has generally embraced IGA and advergaming as effective ways to reach 16 to 34-year-old males.
 Reducing advertiser risk
Viewer numbers are hard to estimate because it is difficult to gauge the popularity of a game before its release; however, advertiser risk can be partially mitigated through benchmark-based advertisement payments on game units sold or a refund agreement if a certain number of game sales are not reached. This may not, however, protect the advertiser from an unwanted association with a poorly performing game or advertisement.
It is also difficult to plan in-game advertisements because 
 Game industry reaction
Game publishers have mixed feelings about IGA.
However, not all publishers have found IGA successful. In 2008, 
Another issue publishers and developers must deal with is integrating IGA into games without alienating or frustrating players.
 Gamer reaction
Gamer reaction to IGA has also been mixed. A 2009 study by an advertising company found that 80% of consumers correctly recalled an advertiser and 56% had a more favorable impression of the advertiser because it allowed them to play a free game.
Gamers may feel that IGA is invasive and in some cases have dubbed IGA-supported software as 
Several academic researchers have attempted to understand how effective IGA is. The effectiveness of such advertising is debated by several scholars. Yang et al. found that the primary factors for player-retention of IGA are location of brand messages in the game, game involvement, and prior game-playing experience.
 See also
- Arif Durrani (2009-05-26). “Screen Digest forecasts $1bn boom for in-game advertising”. Brandrepublic. http://www.brandrepublic.com/News/908125/Screen-Digest-forecasts-1bn-boom-in-game-advertising/. Retrieved 2011-04-14.
- Enid Burns (2009-04-28). “Video Advertising Still Set for Growth in Down Ad Spend Year”. http://www.clickz.com/clickz/news/1708732/video-advertising-still-set-growth-down-ad-spend-year. Retrieved 2011-04-14.
- “The Making of Adventureland”. EDGE (162): 104–107. May 2006.
- Helen Leggatt (2009-03-18). “Major in-game ad firm struggling”. BizReport. http://www.bizreport.com/2009/03/major_in-game_ad_firm_struggling.html. Retrieved 2011-04-17.
- “In-Game Advertisting”. Entertainment Software Association. http://www.theesa.com/gamesindailylife/advertising.asp. Retrieved 2011-04-17.
- Grant Jenman, Stephanie Becker (2008-06-30) “In-Game Ads Put Brands in Play”. Adweek. http://www.adweek.com/news/advertising-branding/game-ads-put-brands-play-96175?page=1. Retrieved 2011-04-21.
- Moonhee Yang, David R. Roskos-Ewoldsen, Lucian Dinu, and Laura M. Arpan (Winter 2006). “The Effectiveness of In-Game Advertising: Comparing College Student’s Explicit and Implicit Memory for Brand Names”. Journal of Advertising. http://business.nmsu.edu/~mhyman/M454_Articles/%28Product%20Placement%29%20Yang_JA_2006.pdf. Retrieved 2011-04-18.
- Ted Boyke (2004-03-23). “Tom Clancy’s Splinter Cell: Pandora Tomorrow World Premiere”. The Next Level. http://www.the-nextlevel.com/features/events/pandora-tomorrow-world-premiere/. Retrieved 2011-04-25.
- Gene Emery, “What’s in a Name: Product Placement in Games,” Reuters. January 30, 2002.
- (2010-02-10). “In-Game Advertising Maximizes Marketing Dollars In Sports Category; New Mobile Advertising Opportunity for the Sports Industry”. Business Trends. http://businesstrends.wordpress.com/2010/02/10/study-shows-in-game-advertising-maximizes-marketing-dollars-in-sports-category/. Retrieved 2011-04-14.
- David Radd (2007-02-22). “Sports and In-Game Advertising”. BusinessWeek. http://www.businessweek.com/innovate/content/feb2007/id20070222_572137.htm. Retrieved 2011-04-14.
- James Brightman (2010-02-10). “Sports Games Proving Effective for In-Game Advertisers, Study Finds”. Industry Gamers. http://www.industrygamers.com/news/sports-games-proving-effective-for-in-game-advertisers-study-finds/. Retrieved 2011-04-14.
- Erika Brown (2006-07-21). “Product placement on the rise in video games – Marketers desperate to engage well-to-do market of 132 million gamers”. Forbes. http://www.msnbc.msn.com/id/13960083/. Retrieved 2011-04-13.
- DMA Design. Grand Theft Auto III. (Rockstar Games). PlayStation 2, (v1.1). (2001-10-22).
- Michael McCarthy (2002-12-03). “HBO shows use real brands”. USA Today. http://www.usatoday.com/money/advertising/2002-12-02-sopranos_x.htm. Retrieved 2011-04-13.
- E.S.S. Entertainment 2000, Inc. v. Rock Star Videos, Inc., 547 F.3d 1095 (9th Cir. Cal. 2008). http://caselaw.findlaw.com/us-9th-circuit/1485435.html. Retrieved 2011-04-17.
- Enid Burns (2008-04-07). “In-Game Ad Network Taps Into Virtual Worlds”. ClickZ. http://www.clickz.com/clickz/news/1694387/in-game-ad-network-taps-into-virtual-worlds. Retrieved 2011-04-13.
- Simon Carless (2006-10-17). “IGA’s Townsend On BF2142 In-Game Ads”. Gamasutra. http://www.gamasutra.com/php-bin/news_index.php?story=11300. Retrieved 2006-10-22.
- Walter Alarkon (2008-10-14). “Obama Runs Ads in ‘Madden’”. The Hill. http://thehill.com/blogs/blog-briefing-room/news/campaigns/41660-obama-runs-ads-in-madden. Retrieved 2011-04-05.
- Danc (2009-07-05). “Flash Love Letter (2009) Part 1”. Lostgarden. http://www.lostgarden.com/2009/07/flash-love-letter-2009-part-1.html. Retrieved 2011-04-01.
- John Callaham (2011-02-01). “Company of Heroes Online to shut down March 31”. Big Download. http://news.bigdownload.com/2011/02/01/company-of-heroes-online-to-shut-down-march-31/. Retrieved 2011-04-14.
- Jason Katz (2011-03-10) “In-Game Advertising: A Waning Star?”. The Marketing Arm. http://www.themarketingarm.com/index.php?id=24768. Retrieved 2011-03-15.
- (2008-04-03). “City of Heroes – In-Game Advertising”. MMORPG. http://www.mmorpg.com/gamelist.cfm/gameId/3/setView/features/loadFeature/1866. Retrieved 2011-04-14.
- Dan Fortier (2006-08-26). “Debate: In-Game Advertisements”. MMORPG. http://www.mmorpg.com/showFeature.cfm/loadFeature/828. Retrieved 2011-04-14.
- Ben Zackheim (2005-02-18). “Pizza and Everquest 2 – two great tastes that clog arteries together”. joystiq. http://www.joystiq.com/2005/02/18/pizza-and-everquest-2-two-great-tastes-that-clog-arteries/. Retrieved 2011-04-14.
- Richard Siklos (2006-10-19). “A Virtual World but Real Money”. New York Times. http://www.nytimes.com/2006/10/19/technology/19virtual.html. Retrieved 2011-04-14.
- “Reach Your Target Audience – Men”. Microsoft Advertising. http://advertising.microsoft.com/ad-network/audience/men. Retrieved 2011-04-12.
- (2011-01-15). “iPad Taking Viewers Eyeballs Off The TV During Primetime”. WorldTVPC.com. http://www.worldtvpc.com/blog/ipad-viewers-eyeballs-tv-primetime/. Retrieved 2011-04-14.
- Kristin Kaining (2006-11-15). “Games: they’re not just for kids anymore”. MSNBC. http://www.msnbc.msn.com/id/15702318/ns/technology_and_science-games/. Retrieved 2011-04-14.
- Gerardo Guzman (2010-09-14). “Video Game Advertising: Playing to Win… and Sell”. Nielsenwire. http://blog.nielsen.com/nielsenwire/consumer/video-game-advertising-playing-to-win%E2%80%A6-and-sell/. Retrieved 2011-03-08.
- John Gaudiosi (2006-10-19). “Nielsen’s GamePlay Metrics”. Businessweek. http://www.businessweek.com/innovate/content/oct2006/id20061019_803821.htm. Retrieved 2011-04-14.
- Duane Kuroda (2010-10-11). “Massive’s Failure Proof Of In-game Advertising’s Success”. ReveNews. http://www.revenews.com/duanekuroda/massives-failure-proof-of-in-game-advertisings-success/. Retrieved 2011-04-14.
- Zachary Glass (Fall 2007). “The Effectiveness of Product Placement in Video Games”. Journal of Interactive Advertising. Vol 8 No 1. http://jiad.org/article96. Retrieved 2011-04-18.
- “Kalador’s FreePlay in-game advertising technology for mobile phone games powers MobileRated”. 2007-03-19. http://www.mobilerated.com/news/20070319.html. Retrieved 2011-04-14.
- Bobbie Johnson (2006-05-19). “Advertisers get young gamers in their sights”. The Guardian. http://technology.guardian.co.uk/games/story/0,,1778693,00.html. Retrieved 2006-10-20.
- William Vitka (2005-07-16). “In-Game Advertising – IGA Worldgroup Leads The Pack And They Might Be Getting It Just Right”. CBS News. http://www.cbsnews.com/stories/2005/07/15/tech/gamecore/main709467.shtml. Retrieved 2006-11-03.
- (2009). “Most Despicable Use of In-Game Advertising”. Gamespot. http://www.gamespot.com/best-of-2009/dubious-honors/index.html?page=2. Retrieved 2011-04-16.
- Quang Hong (2005-11-30). “Question of the Week Responses: In-Game Advertising?”. Gamasutra. http://www.gamasutra.com/view/feature/2472/question_of_the_week_responses_.php. Retrieved 2011-04-16.
- J.P. “Agon Thalia” Sherman (2009-01-05). “In Game Advertising Could Be the Next Best Thing to Gaming”. Ten Ton Hammer. http://www.tentonhammer.com/node/60433. Retrieved 2011-04-12
This article uses material from the Wikipedia article in-game advertising, which is released under the Creative Commons Attribution-Share-Alike License 3.0.