Home / Channel / Zynga shares drop 40%: Facebook changes hit hard

Zynga shares drop 40%: Facebook changes hit hard

Slyvia July 26, 2012 Channel, Software & Gaming

Zynga, the maker of online games have experienced a huge drop in share value, showing that they rely on Facebook dramatically. Their shares tanked by 40% yesterday as Facebook made changes to their system to address ‘spamming concerns'.

Zynga's older games got hit hard and the company said the unexpected loss was due to the weaker performance of existing games and changes at Facebook which is favouring the discovery of new games now.

The delayed release of The Ville didn't help the company either. Surprisingly their original hit ‘Draw Something' suffered in the second quarter, with reduced sales.

Zynga CEO Mark Pincus said that the company outlook for the rest of the year is positive as they move forward. They have also developed their own website to promote the games outside of Facebook. The plan is that they will experience more growth this way.

Kitguru says: A tough year ahead we think for Zynga.

Become a Patron!

Tags

Check Also

Call of Duty COD

KitGuru Games: Predicting the Next Half a Decade of Call of Duty Releases

Benjamin Franklin (1706-1790) famously once said: “The three absolutes in life are death, taxes and a new Call of Duty coming out every single year”. Sure enough, the US founding father has yet to be proven wrong, with Activision and a dozen studios having ensured that come the tail-end of any given year, there will be a new COD ready to release. And so, what can we expect from the franchise later this year? What about 2027, 2028 or even 2030? By looking back at the past two decades of Call of Duty games, their trends, progression and regression, I believe I can predict the next 5 years worth of annual COD entries.

© Copyright 2026, Kitguru.net All Rights Reserved Standard Terms