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Forums - Microsoft - Microsoft: A Massive failure!

Joelcool7 said:


Well Microsoft did pay more then 200-mill for Rare. So 400-mill for a big advertising company is plausable if not probable. It did have support from major publishers but when Microsoft's X-Box team themselves decide to go internal theirs got to be a problem. Also with EAGames leaving their was likely major problems.

I doubt that the company was able to make back profit. Look at Rare for example it has failed to sell big amounts of software for any of its titles yet Microsoft has not dissolved them. You know Microsoft must have been loosing something to shut them down.

Plus my estimates aren't really mine they are estimates about how much Microsoft purchased them for 200-400 mill (Not mine) and I simply estimated over eight years it probubly would have cost them another 100-mill in operating costs.

In the end I can't see Microsoft shutting them down if they were making money and were in the black. Anyways the closure of any purchased entity is pretty much a failure, especially if its clientel was leaving in droves and their own company leaves them.

Uhh... you don't know Rare's real value being apart of MS. They had a few titles with modest and respectable sales. I assume they'll have success with the Kinect. They also created the Avatars. The Avatar characters have basically become the mascots of Xbox 360 and I'm sure they've generated a ton of revenue with those items people purchase.  Ultimately, Rare may have paid for themselves already. There is also a lot of potential with the IPs Rare owned.

We don't know how much MS actually paid for Massive. You just assume the highest guess. You don't know how much it cost to operate. We don't know how much they generated throughout the years. We know absolutely nothing. Perhaps MS got rid of it because it was a sinking ship with no potential of growth.



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Crafty title but its funny they spent so much on it.



Sly title.

But... this was clearly a bit of an experiment and one MS could easily afford.  With Live they've always tried to keep very tight control so I can imagine them wanting to test out their own approach to in-game ads, etc.

If they're letting it die they clearly feel there's no great loss to their goals in doing so and the money really is small change for them.



Try to be reasonable... its easier than you think...

I still think that in-game ads are not a good idea and in the future it can burn a company



oldschoolfool said:
Joelcool7 said:

Well its true Microsoft's Massive video game ad division has apparently been terminated.Microsoft bought Massive a few years ago for between an estimated 200-400 million dollars. Microsoft hoped that the company could sell in game ad space for developers and publishers. Origionally Massive was viewed as a rising star that could generate millions if not billions from selling advertising space in video games.


Advertising industry magazine adweek cites sources close to the company and "insiders at Microsoft" in reporting that Massive General Manager J.J. Richards has been seeking new employment with other unit members reportedly being reassigned throughout the company.

We knew Massive was in trouble last year when it shed 28% of its staff. Massive also lost out a huge chunk of change when Microsoft Game Studios themselves decided to bring ad selling in house rather then having Massive handle their affairs. Not to long after Microsoft Games Stuidos (X-Box division) pulled out Massives biggest client EAGames also ditched the company bringing all of its ad selling in house.

With little to know customers anymore Microsoft appears to have had no choice but to close Massive a massive failure. The question is if Microsoft can't succeed is their room for anyone in the ad space selling industry? Or will all in game ads be handled internally by developers/publishers?


How is this a massive failure? MIcrosoft is knowing for there great marketing. In game ad space is always a tougher sale,it's not like Microsoft really needs this company. In game ads should be handled internally by developers/publishers in the first place. That's my two cents/peace out. lol


It was a play on words...



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360 is still by far the leader when it comes to online in game advertising so Microsoft must be doing something right.



i lol'd at your pun but then lost interest in the article.



the_bloodwalker said:

I still think that in-game ads are not a good idea and in the future it can burn a company


I don't know ads could be put into most games without the games suffering or the players getting the feeling that the game is all to sell ad space. Example in Cod:MW2 their is Burger Town resteraunts throughout the game, now Activision could have sold ad space to Burger King or McDonalds and made a few mill and the game wouldn't have suffered at all.

Same goes for racing games, why not sell ad space on the cars and tracks like Nascar does in real life, it won't take away from the game. Or example a shooter and your walking through a subway and see ads for products on the walls like you would in real life.

I think in game ads when used properly could be an amazing source of income. But I think bringing advertising in house is probubly smart and likely the reason Microsoft shut down Massive. When Microsoft's own studios pull out and their biggest third party supporter (EAGames) then its time to pull the plug.



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