Archive for the ‘Advertising’ Category

Time Warner to separate AOL service following drop in profits

Wednesday, August 6th, 2008


Time Warner Inc. has announced that they will be running AOL’s access and audience businesses separately from next year; the main reason for this is a drop in their profits. When Warner has managed to get the units operating separately from each other, then they will be able to work out if the cash flow is better.

Once the access is a stand alone, Time Warner will then have the flexibility to spin the business around or even sell it if it comes to it. Time Warner said that second quarter net income had fallen by 26 percent from their AOL and publishing units.

During the second quarter AOL’s shares fell to $1.1 billion, most of that loss has been from the loss of dial-up subscribers. This is a direct result of AOL trying to make the transition from an Internet-access provider to a business primarily driven by advertising revenue from AOL.com.

The growth in advertising in the second quarter for AOL saw a 1 percent increase from the first quarter. To give you an idea at just how bad this is, Ad growth in the fourth quarter of 2007 was 10 percent, it was 13 percent in the third quarter of 2007. So there is a pattern that things have been falling for some time.

For a detailed report on this visit Market Watch

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The Sony PS3 to get In-Game Ad Platform

Thursday, June 5th, 2008


Gamers love their Sony Playstation 3’s but what about the saying “Money Makes The World Go Round”, well to some people this is true and now businesses want to get in-front of the PS3 gamer and this is being made possible. The Sony PS3 is become a Dynamic In-Game Ad Platform; see the press release below for the details.

FOSTER CITY, Calif. & LONDON, June 4, 2008 – Sony Computer Entertainment America (SCEA) and Sony Computer Entertainment Europe (SCEE) today announced the introduction of dynamic in-game advertising on PLAYSTATION®3 (PS3). Marketers interested in placing advertisements in games for PS3 or publishers with available in-game space for advertisements are able to engage through advertisement distribution partners, with IGA Worldwide selected as PS3’s first partner. This partnership will serve to bolster the already rapidly growing worldwide in-game advertising industry, which is expected to grow 1,150 percent to $971.3 million between 2006 and 2011 according to the Yankee Group.

“The PS3 platform is primed to leverage the high growth potential of the in-game advertising market,” said Phil Rosenberg, Senior Vice President, SCEA. “Ads that are organic to the environment not only benefit developers and advertisers, but also create a richer experience for gamers.”

“PLAYSTATION 3 is undoubtedly the prime opportunity for the in-game advertising industry,” said Justin Townsend, CEO, IGA Worldwide. “Through this partnership with Sony Computer Entertainment, IGA can provide advertisers with a large and valuable global user base of 16-35 year old consumers with disposable income. With our standardized awareness-building advertising formats being delivered directly into people’s living rooms while they play, there are great opportunities for advertisers looking to engage through an entertainment medium outside of the traditional TV spot.”

PS3 provides advertisers with a direct avenue to reach the highly targeted, sought after gaming demographic, and has sold more than 12.5M units worldwide. DFC Intelligence forecasts that sales for the current generation of game systems will pass the 180 million mark by 2011, therefore, reiterating the potential for the in-game advertising market.

Written by Daniel for Product Reviews
In Sections: Gaming, Sony Playstation 3
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Posted in Advertising, Sony PS3, Gaming, Sony Playstation 3 | No Comments »