The future of in-game ads is in the casual-game sector, according to Atari creator Nolan Bushnell, whose currently chairs NeoEdge, which has inked a deal with Yahoo! Games to sell and integrate pre-roll, mid-roll and post-roll video ads. "We have all the power of the Internet, all the production value of the 30-second spot, which companies spend millions of dollars on to get just right, and then you have the click-through -- it's the perfect storm of advertising," Bushnell said.

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