Product placement in video games is currently a hot topic and you would think developers would be saying that it's great because the extra funds help make the game better the consumer benefits from the advertisement, but the truth is that publishers eat all the profits from the in-game advertisement to offset the risk they take from investing in the title. Still it as been described by some that advertisement in necessary for this young growing industry to continue to grow.
David Lynch director of such titles as Twin Peaks and Dune (one of the few films I own) was asked about product placement in films and this is his response: