Zynga has acquired the Silicon Valley game developer A Bit Lucky as it tries to attract players more eager to spend money on its social games.
Rivals such as Kixeye have been monetising at much better rates than Zynga by making games that appeal to hard-core gamers. Zynga has focused on casual players to date, but it described its acquisition as a “mid-core” (whatever that means!), “multi-platform games developer”. No financial details were released, but Zynga described the deal as “small”. Read more
Two more executives have left Zynga, the leading social gaming company whose stock has lost 70 per cent of its value since going public in December.
There has been a string of departures this month after the San Francisco-based company issued disappointing quarterly results and its stock price continued to slide. The latest to leave are vice presidents Bill Mooney and Brian Birtwistle. Read more
Zynga has announced the resignation of John Schappert, its Chief Operating Officer (pictured left as his Zynga character), in a sign that the social gaming company is wrestling to recover from its poor financial performance.
Mr Schappert quit on Wednesday, with the company stating in an SEC filing that his resignation was not because of any disagreement over Zynga’s operations, policies or practices. Read more
Is Zynga hopelessly exposed to the hit-driven nature of the games business, or do its scale and business model give it a sustainable competitive edge?
Depending on your point of view, its acquisition on Wednesday of OMGPOP, maker of the red-hot game Draw Something, could be used to support either side of this argument. Read more
Two trends clear in Facebook’s IPO filing on Wednesday were the inexorable rise in importance of digital-based gaming revenues and the growth in mobile – we learned Zynga was a key revenue-generator for Facebook and half of Facebook’s members were now users of its mobile products .
Earnings and data from Electronic Arts, THQ and Japan’s Gree over the past 24 hours further emphasise that the old order of disc-based console gaming will have a declining share of consumers’ attention, as consoles become more general entertainment boxes and smartphones and tablets proliferate. Read more