Earlier today in New York, we notified employees of our in-game advertising business unit, Massive, that Massive technology will be redeployed to our first party ad business, focusing initially on gaming and eventually expanding to other Microsoft opportunities. Central to this announcement is our decision to work closely with the Interactive Entertainment Business (IEB) at Microsoft to continue developing and expanding the Massive technology to meet the needs of our first-party gaming advertisers on owned and operated properties like Xbox LIVE and MSN Games.
This also means that Microsoft will wind-down Massive’s third-party in-game ad business and sunset the Massive brand name at year-end.
It is important to share some context about why we made this decision and how it affects our go-forward plan for in- and around-game advertising.
- We will take the best of what Massive has to offer and redeploy its ad serving technology on one “customer platform” within Microsoft.
- In the future, game oriented advertisers will find it easier to do business with all Microsoft properties with a singular focus, unified sales force and unique advertising opportunities across a suite of gaming properties.
- Deploying the Massive technology and bringing the talent to our owned and operated gaming platform represents a tremendous opportunity for Microsoft to further elevate Xbox LIVE advertising as the singular Microsoft in-game and around game advertising platform for advertisers.
- We remain very committed to games and entertainment advertising, specifically on our owned and operated properties such as Xbox LIVE and MSN.
- The power of multi-screen digital advertising is real, and this change will help advance our multi-screen strategy. By offering advertising opportunities across PC, mobile, Xbox LIVE and TV we are uniquely positioned to offer solutions across multiple screens while giving advertisers access to a highly engaged, growing audience, which includes 25 million subscribers.
- We are very committed to helping our current Massive customers through this transition. We will retain a small staff of people to service existing clients whose campaigns run through year-end. We will make the wind-down process as seamless as possible for them.
- We recognize this decision has a direct impact on our third party game publishers who have partnered with us through the Massive business. We appreciate their commitment to Microsoft and look forwarding to continuing our partnerships with them in other areas of our business.
We will share more news about the integration process between Massive and the IEB group in the coming months.