Those game developers that create titles that are hosted by MSN Games are now being offered another stream of income by Microsoft (MSFT).
They will offer a percentage of the revenue that is generated from in-game advertisements from any title the developer has made.
There are two levels that the model will entail:
For the first level, the developer will receive 10 percent of the revenue generated by the game, no strings attached.
With the second level, the developer will receive 20 percent of the ad revenue, but will have a couple of criteria that must be met to receive it. First, they must allow their game to be submitted to the ESRB to be rated. Secondly, the game must also offer what is being called a "deluxe experience," which evidently means one that lasts for over 10 hours.
As Joystiq says, "There's an added bonus for Microsoft concerning this business model, in that the more ESRB-rated games it has, the easier it will be for Windows Vista to properly filter content in tune to the Parental Control settings. The only outlet currently mentioned is MSN Games, but how long until this business permeates through Xbox Live Marketplace?"
Once they get it going and work out some of the kinks, it probably will transer to the Xbox Live Marketplace, bringing potential income even higher. It should be a win/win all the way around.
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