Zynga shut down 11 games last December because these titles were not doing very well. The company has been facing very serious problems in terms of financials and stock market performance. Besides this, many senior management people have jumped ship leaving the company in a quandary.
Zynga used Facebook to rocket ahead a few years back but now things are not very good between both companies and Zynga is feeling the pinch due to the paucity of users and revenues. The company’s downfall was very public last year with many people citing the example of Zynga and its IPO as a cautionary tale.
The company has decided to review its outlook towards 2013 and thus go on a cost cutting exercise. The games that have been shuttered include Petville, Mafia Wars 2, Vampire Wars, Forestville and Fishville.
Eve though Zynga games were popular some 2-3 years ago, it is easy to see that most of their games follow the ‘ville’ formula and are not very innovative in terms of gameplay. In my opinion this is the number one reason for their downfall. The company is now looking at getting heavily into mobile games in addition for applying to the Nevada Government in the US for permission to run real money gambling games. This would be a good source of revenue for the company, provided they can pull it off without hiccups.