In-game ad network IGA Worldwide has raised $4 million in Series B funding from Translink Capital, Presidio STX, a subsidiary of Sumitomo Corporation, and ITOCHU Corporation. The round is up to almost $30 million: In November, IGA raised $25 million from GE/NBC Universal’s Peacock Equity and KTB Ventures.
The New York-based company puts ads in video games — a market projected to nearly double in the next few years. eMarketer reports that $502 million was spent on video game advertising in 2007; by 2011, they project it will grow to almost $1 billion. Video game sales had strong growth last year — game and software sales were up 43% from 2006, according to research firm NPD Group.
In 2006, when Microsoft paid between $200-$400 million for in-game ad network Massive, video game ads were touted as the next big thing. They never took off, in part because game developers and marketers couldn’t figure out how to work together. But they seem to have worked out their differences: Once again, in-game ads have a positive outlook.
See Also: Nintendo Doubles Profit, Raises Guidance
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