Those video ads began appearing during WipEout HD's loading screens, presenting players with a video spot that, in some cases, appears to be pitching State Farm Insurance. That advertising looks to be limited to U.S. based owners of WipEout HD for now, a new addition that may have been introduced during the game's recent software update.

While the annoyance of in-game ads may be written off as nothing more than virtual visual blight, justifiably bothersome are accusations that the new ads increase loading times between races. Double Fusion boasts that the ads "contextually match the game's sleek futuristic design" and "complement the WipEout HD world seamlessly," but some players disagree. One YouTube video of WipEout HD's ads shows this in action, a surprising difference that we've yet to verify for ourselves.

Advertising in the WipEout series isn't exactly new, with entries as far back as WipEout 2097 sporting a noticeable presence for energy drink Red Bull, not to mention the design houses that were responsible for the games' visual style.

We have contacted Sony Computer Entertainment America to see what's up with WipEout HD's new ads.

Thanks to Caleb and Gabriel for the heads up.

Joshua Larson, Joshua Larson, Josh Larson? That's right, at CNET he was involved in GameSpot business strategy, and he was apparently involved in the site's "Gerstmann-gate" brouhaha. This controversy supposedly lead to the controversial firing of long-time staffer Jeff Gerstmann (pictured0. After that incident, other senior GameSpotters like Frank Provo, Brad Shoemaker, Ryan Davis and Jason Ocampo all left the site. Josh Larson was sacked last April. According to an anonymous "gamespot" commented at sister site Valleywag, Larson was "a suit [...] who had no editorial experience and was only involved on the business side of things."

And now Joshua Larson is working in advertising. In-game advertising. Why was he ever working in editorial?

GameSpot's 'Gerstmann-gate' VP Heads to Double Fusion [GameDaily] [Pic]

Weird, I thought they were open for the ad business last month when they announced their deal with Double Fusion rival IGA.

Either way, I don't see adding in-game ads as something they or any company should be bragging about. Until I see a dip in game prices or service costs, it doesn't give me anything but an opportunity to help an international company rake in more dough.

Sony Computer Entertainment America and Sony Computer Entertainment Europe Announce Double Fusion as In-Game Advertising Partner

Double Fusion to Work with Publishers and Marketers to Deliver In-Game Advertising On PLAYSTATION(R)3

FOSTER CITY, Calif. and LONDON, July 10 /PRNewswire/ — Sony Computer Entertainment America (SCEA) and Sony Computer Entertainment Europe (SCEE) today announced a partnership with Double Fusion to deliver dynamic in-game advertising on PLAYSTATION(R)3 (PS3(TM)). Double Fusion will leverage its expertise, technology and sales force, working with publishers and advertisers to create effective marketing programs for brands targeting PS3's coveted gamer demographic.
"PS3 is open for the ad business," said Phil Rosenberg, Senior Vice President, SCEA. "We are very excited about hosting contextually relevant and well-crafted creative advertising on PS3. PlayStation is taking a major role in enabling this fast-developing sector that is both positive and inevitable for the games medium."
PS3 provides advertisers with a direct avenue to reach the highly targeted, sought after gaming demographic, and has sold more than 13M units worldwide. DFC Intelligence forecasts that sales for the current generation of game systems including portable devices will pass the 180 million mark by 2011, reiterating the potential for the in-game advertising market. The worldwide in-game advertising industry is expected to grow 1,150 percent to $971.3 million between 2006 and 2011 according to the Yankee Group.
"We have already received tremendous support from publishers who want to incorporate ads into their PS3 games, across all of the regions of the world," Jonathan Epstein, president and CEO, Double Fusion, said. "We are very excited to work with SCE on this and PS3 will add a vast number of players to our already robust network. SCE's participation strengthens the in-game advertising ecosystem."

About Sony Computer Entertainment America Inc.
Sony Computer Entertainment America Inc. continues to redefine the entertainment lifestyle with its PlayStation(R) and PS one(R) game console, the PlayStation(R)2 computer entertainment system, the PSP(R) (PlayStation(R)Portable) handheld entertainment system, the ground-breaking PLAYSTATION(R)3 (PS3(TM)) computer entertainment system and its online and network services PLAYSTATION(R)Network and PLAYSTATION(R)Store.
Recognized as the undisputed industry leader, Sony Computer Entertainment America Inc. markets the PlayStation family of products and develops, publishes, markets and distributes software for the PS one game console, the PlayStation 2 computer entertainment system, PLAYSTATION 3 and the PSP system for the North American market. Based in Foster City, Calif., Sony Computer Entertainment America Inc. serves as headquarters for all North American operations and is a wholly owned subsidiary of Sony Computer Entertainment Inc.

About Sony Computer Entertainment Europe Ltd.
Sony Computer Entertainment Europe (SCEE), based in London, is responsible for the distribution, marketing and sales of PLAYSTATION(R)3, PlayStation(R)2, PSP(TM) (PlayStation(R)Portable) and PLAYSTATION(R)Network software and hardware in 102 territories across Europe, the Middle East, Africa and Oceania. SCEE also develops, publishes markets and distributes entertainment software for these formats, and manages the third party licensing programs for the formats in these territories.

About Double Fusion
Double Fusion reaches more consumers across the broadest range of demographics than any other game advertising network. Utilizing their award-winning fusion.sdk tm and fusion. runtime tm dynamic in-game ad serving technologies originally developed for AAA hard core graphics-intensive video games, the company has successfully expanded the idea that any game type, genre, or platform can harness the power of advertising. Double Fusion currently boasts over 30 top-tier game publishers in a portfolio reaching gamers from 12 to 49 years old. The network's acclaimed integrated marketing solutions continue to inspire Fortune 500 companies to get in the game with groundbreaking advertising campaigns. Privately held and headquartered in San Francisco, Double Fusion has offices in Chicago, New York, Jerusalem, London and Tokyo. More information about Double Fusion is available at http://www.doublefusion.com.
Advertisers interested in opportunities within the Double Fusion Network; and developers and publishers interested in increasing their per-title revenues through integrated and dynamic ad placement opportunities should visit http://www.AdvertisingInPlay.com

NCsoft Vouches for In-Game Ads [Next Gen]

"This is an exciting and innovative opportunity for Eidos, we're delighted to be working with Double Fusion and we fully believe that our titles will offer the perfect platform for the right media partners," commented Jane Cavanagh, chief executive, Eidos Interactive.

Sure, in-game advertisements can be annoying, but as the price of game development grows and the game-playing audience expands, the practice just makes more and more sense for everybody involved.

In fact, in-game advertising giants Double Fusion recently released a study here on the amazing power of in-game ads, the results of which are of course by no means biased towards what they do for a living. Just as valid as the 2006 "Coke Is Really So Good" study published by the Coca-Cola Bottling Company.

EIDOS RECRUITS DOUBLE FUSION FOR MAJOR IN-GAME ADVERTISING DRIVE

Eidos Interactive, one of the world's leading publishers and developers of entertainment software, has signed a three-year deal with Double Fusion, the in-game advertising specialists.

The deal covers 10 key Eidos titles, all currently in various stages of development. Advertising will be displayed in several formats, ranging from dynamically-served advertisements, which can be rotated or changed after the games' release, to deep integrations and product placements.

"This is an exciting and innovative opportunity for Eidos, we're delighted to be working with Double Fusion and we fully believe that our titles will offer the perfect platform for the right media partners," commented Jane Cavanagh, chief executive, Eidos Interactive.

Frank Sagnier, Double Fusion's European managing director said: "We are truly excited about this partnership with Eidos. The quality and breadth of Eidos' portfolio of games represents an ideal opportunity for advertisers to reach many millions of consumers in an uncluttered and engaging environment. It further strengthens videogames as a primary medium of choice to reach the elusive 18-34 year old audience."

Last fall, in-game advertising company Double Fusion brought on Yahoo Games General Manager Geoff Graber as the company's new CEO. "With more options becoming available for gamers in the next year, and as the industry continues to mature, we feel that the biggest days for in-game advertising are just on the horizon," Graber told GameSpot last November. With recent deals with Midway and THQ, things look bright for Double Fusion. Things for Graber apparently could be better. An insider just dropped word that the CEO has been "canned." Reasons for Graber's dismissal are not yet clear, but if this is true, things aren't so rosy at Double Fusion.

Eds. Update: Another insider sent us the following email about the situation at Double Fusion. It goes:

It didn't work. They let him go, and I'm sure they'll find a suitable replacement to lead."

Sure hope so! Thanks for the heads up.

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