In-application advertising has to be working if top-notch brands like Paramount's Star Trek, Nestle's Lean Pockets, the U.S. Navy, Nikon, Kia, Sprint and Yahoo are relying on it.

These brands have all turned to EA Mobile's free Lemonade Tycoon iPhone game to deploy ads. In addition to Lemonade Tycoon, EA Mobile has launched five other new gaming titles for iPhone and iPod touch, including Star Trek, American Idol, Trivial Pursuit, Pandemonium and Anytime Pool, although those are pay-per-download.

"As we explore revenue models for games in the app store, ad support is one model we're evaluating in addition to our traditional download-per-game cost model," said Patrick Gunn, director of marketing, direct-to-consumer, for EA Mobile, Redwood City, CA. "The model utilized in Lemonade Tycoon is dynamic served ads.

"EA is looking at both traditional business models to sell games through the App Store, as well as new ad-supported methods to insure that we offer consumers choices in how they wish to consume our gaming content," he said.

A division of Electronic Arts Inc., EA Mobile is a wireless entertainment publisher with games such as Tetris, Bejeweled, The Sims and Need For Speed.

The EA Mobile portfolio also includes casual games based on Hasbro games, including Monopoly, Yahtzee and Scrabble.

Mr. Gunn said that not all applications would work with an ad-supported model. There are some applications that should be paid for.

However, Lemonade Tycoon is a good fit for ad support.

"Lemonade Tycoon is a perfect first foray into a new business model, because the episodic nature of game play lends itself nicely to ad integration," Mr. Gunn said. "Once exposed to the quality of an EA game, consumers are also introduced to other EA games that can be purchased through a discovery mechanism called ?More Games.'

"Although we have no other ad-supported titles to confirm today, we are evaluating many other models and we are actively engaged with the EA Media Sales Team on developing opportunities for advertisers within iPhone and iPod touch games," he said.

Lemonade Tycoon ads are displayed in-game, without the need to exit the game to launch a browser.

Ads are displayed after the game loads and the ads refresh every five "game days," a virtual time measurement.

The ads are also cached in the background, and will replay if no ad network connection is found. The ads are embedded right in to the game play by Greystripe.

The game will connect to the ad network, which in this case is GreyStripe, if the iPhone or iPod touch has a network or WiFi connection to download additional ads.

This ad download process does not disrupt game play, according to EA Mobile.

Ad sales are being handled by Greystripe.

At this time, the ads will appear globally, but in English only.

Lemonade Tycoon serves up a twist on business simulation games.

Players are the boss as they manage their lemonade business, from location choice, recipe selection, advertising decisions and staff selection.

Even the weather is under a player's control as he discovers the secret of success.

Players can save up to six games at once as they deliver the juicy goods to unique customers with interactive personalities.

With a Career Mode and the 30-Day Challenge Mode, future tycoons can choose how they want to play.
Players also can listen to their own iTunes library while they play.

"By partnering with Greystripe to offer Lemonade Tycoon in a free, ad-supported model, EA is able to capitalize on both aspects of the game," said Michael Chang, CEO of Greystripe, San Francisco.

"By offering the title for free, EA ensures its entire user base was able to download the game; and because it is ad-supported, each repeat play is monetized," he said.

"Greystripe has also developed the ad serving platform to make sure that only the most relevant and highest quality advertisements are delivered to this premium title."