According to insiders, Massive general manager J.J. Richards is currently looking for another job, and other sales and technology team members are being assigned to other projects within Microsoft. This bodes poorly for the Microsoft-owned in-game advertising service, and it is expected to be closed soon.
Despite the optimism that surrounded the acquisition of Massive at the time, with between $200 – $400 million spent in the original acquisition, Xbox Live has become the prefered medium for advertisers. Moreover, the in-game ad industry has cooled off and been taken internal by publishers (like Electronic Arts). When Microsoft more recently put out feelers for a buyer of Massive, rival company Double Fusion only offered something in the single digit million range.
Source: AdWeek {link no longer active}
