Massive Incorporated is an advertising company that provides software and services to dynamically host advertisements within video games. Massive Incorporated was purchased by Microsoft in May 2006 for approximately $200 million to $400 million

The service, collectively known as The Massive Network, allows game developers to place advertisements within video games by providing a software development kit (SDK) and servers to host advertisements to be streamed to clients when the game is played. The streaming of advertisements allows old advertisements to be removed and more contextual ones applied in their place. Where games such as Need For Speed: Most Wanted had static advertisements for Cingular and Burger King^[3], advertisements supplied by a streaming network allow more temporary ads such as movie or TV show posters. Both the publisher and Massive can then continue to make money after the game has been sold.

The software is made so as to capture the proper demographic: it would be a problem to advertise an R-rated movie in an G-rated game or to place advertisements that conflict with a game's genre.

First, placement and layout of the advertisements is planned by the developers with help from Massive. Advertisements can be any texture, but to maintain realism, advertisements are generally placed on objects such as posters, billboards, storefronts, and other likely mediums. Massive calls this "Phase I: Design of the Inventory Elements."

Second, the SDK is integrated with the game to act as a client to Massive's ad servers. It allows the game to fetch the ad, display it on a surface, and analyze how the player acts around it. Massive refers to this as "Phase II: Integration of the Software Development Kit (SDK)."

Third is self-explanatory, "Phase III: Testing & Support." These are the software testing and deployment steps.

http://en.wikipedia.org/wiki/Massive_Inc 

I dont mind it..games cost so much to make now-a-days.

I kinda like in game advertisments..like if the next FF had a character chillin at starbucks it would be funny and will help both parties (ie Starbucks and Square's cost of game)

I think its a great idea. For me, it would make the game feel a little more real. I mean you go outside and your surrounded by advertisements anyways.

It's something that really should of been done a while ago. I perfer real products to fake ones when it comes to product placement as it is anyway... and loading screens are a waste right now.

I don't mind it (an in fact appreciate it) when it's done in an appropriate manner. Contemporary movie posters at an in-game theatre? Makes it feel more like it's happening right now. Same if there's an actual new car driveable in a racing or open-world game.

However, don't be advertising 2000 Mazdas in my far-future, alternate-world metropolis.

FF character chillin at starbucks, lmao

All the item shops become walmarts

The one thing I wouldn't mind seeing ads for is other games.

Anything else is just silly.

I think it's cheap, the games that use it tend to be crap anyway

As long as there are no breaks for ads on games, it's cool with me.

If it helps to cover the cost of development it can possibly lead to a reduction in the price of the game at retail. I'm a fan of cheaper games so I like the idea.
Also isn't the new Battlefield game supported entirely by ads?