The Most Talked About Business Moves of 2012
Zynga's Dying Breaths
You know what they say: it’s all fun and games until somebody loses $53 million in one quarter. At Zynga--until recently a favored Facebook friend--the stock is down. Advertising is down. Innovation is down. (EA, which sued Zynga for copyright infringement, is just the largest firm complaining that Farmville’s parent doesn’t grow its own.) Last month, the company shed 5% of its workforce; more than a dozen key executives had already beat a retreat. For investors who bought into the lackluster IPO last December, it’s been a long year of disillusionment. To non-gamers, the decline of a business selling virtual objects for real cash might seem like the restoration of sanity.