Gaming's popularity continues
to rise

InterActive Corp. (IAC), the parent company of Ask.com, is spending $50 to $100 million to build a new video game site.

InstantAction shall offer 3D games that mimic environments like Halo 3's, potentially making it a more "serious" destination than casual gaming sites like Yahoo! Games.

The site will experiment with a wide range of business models, including pay-per-play, ad support, subscriptions and virtual property trading.

GarageGames, a developer in which IAC invested a controlling interest, will assist in site creation. IAC also seeks independent developers and outside publishers, according to Variety.

The market for video games grew 43 percent last year. Major players also merged to become industry Goliaths: Activision joined Vivendi to form the world's largest gaming firm, and EA recently bid on Take Two Interactive.