Zynga Inc. had been looking to solve its problem and it seems that it finally found a way. The famous online game publisher finally informed that it would ingress the real-money gambling sector in the UK. Is this the end of Zynga’s problems?
Zynga Inc. is cutting approximately 5 percent of its workforce and ending 13 games. The social game developer is also to shut down few of its offices. The reduction plan of Zynga Inc. is expected to compensate for decreasing sales growth.
Mike Verdu, the chief creative officer of Zynga Inc., has left the company to start his very own company. Verdu happens to be the latest in a line of top tier executives who have all resigned from the company in the past few weeks. Several of Zynga’s studios and creative projects including FrontierVille, CastleVille and Empires and Allies, owe their development to the contribution of Verdu who had helmed the creative half of the company for more than a period of three long years, following his involvement with game developers, Electronic Arts. He was also the co-founder of game maker, Legend Entertainment.
Zynga Inc., the well-known casual games publisher, was hit by lawsuits filed by its shareholders. They are accusing the popular game creator of not warning them about drops in user and revenue growth before Zynga’s outcomes resulted into a decline of its shares just last week. In addition, many of Zynga’s investors and executives cashed out their investment in the company for huge sums just before the firm’s stock dropped.