Thanks to an ad market in turmoil as a result of the economic recession, in-game advertising company IGA has put itself up for sale. According to VentureBeat, the company is hoping to close a new round of funding, but chairman Justin Townsend has acknowledged that an outright sale of the company may be necessary for the sake of its shareholders. Prospective bidders reportedly have until March 27 to make an offer. Townsend notes that he does not wish to accept "low ball offers" for the company. The news comes after the company lost $11 million in 2007 with revenues of $3 million.

With the economy rearing its ugly head all around the gaming industry, sprinkling our dreaded layoffs tag in its wake, we suppose it was only a matter of time before related industries were affected. Whether IGA's fate is reflective of the in-game advertising business as a whole remains to be seen. Maybe IGA should use its in-game ads to advertise other games. Seems like publishers aren't too shy about advertising those.

This article was originally published on Joystiq.