Zynga Abandoning Real Money U.S. Gaming Is Their Ultimate Gamble

For all our regular readers the on goings at Zynga are all too familiar. It is rare to see such promise that is somehow always followed by disappointment and even bewilderment. While we understand the need to adapt and change strategy when things are not working, Zynga’s latest statement has got to have even their most loyal fans scratching their heads.

In an announcement yesterday they dropped the ultimate bombshell by announcing their intentions to ditch all efforts to enter the U.S. online gambling race,” Zynga is making the focused choice not to pursue a license for real money gaming in the United States. Zynga will continue to evaluate all of its priorities against the growing market opportunity in free, social gaming, including social casino offerings.”

We have reported on the constant changes in the San Francisco based gaming giant which have included everything from former CEO reportedly in tears to investors forcing him out. Newly appointed CEO Don Mattrick is seen as the last hope for Zynga to regain their status as a game maker in social gaming. Mattrick is all too aware of the challenges ahead and knows exactly where his focus needs to be, “It’s clear that the market opportunity around us is growing at an incredible clip. It’s also clear that today we are missing out on the platform growth that Apple, Google and Facebook are seeing. In short, we can do better.”

Mattrick intends to go back to basics and focus on free-to-play social games on mobile devices which are now seen as the primary market for anyone looking to make inroads into the dynamic and growing world of mobile gaming. With Zynga’s share price plummeting by up to 17% following their announcement and it remains to be seen if their decision to abandon the U.S. real money gambling market is the ultimate gamble which could make or break them.

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