Sunday, July 28, 2013

Zynga Folds for Online Gambling

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Zynga players within the U.S. who had hoped to play poker and casino games for real money had their hopes dashed last week.

Zynga had started the method of applying for approval to provide real-money gambling games in Nevada and New Jersey, two of the primary U.S. states to pass their very own state laws to make online gambling legal.

Hopes were high from Zynga investors, company executives, and players alike that the corporate and its millions of players can make a large splash on the planet of real money gambling. Zynga Poker and its 30 million active players is the most important poker platform at the planet, far larger than PokerStars.

The hitch, though, was that Zynga Poker only offers the risk to compete for play chips and the corporate had absolutely zero experience in operating within the regulated world of online gambling. 

Zynga has also been struggling mightily overall in recent quarters, with players abandoning its games for newer hits from companies corresponding to King.com and SuperCell. A BRAND NEW CEO was brought into Zynga from Microsoft, with Don Mattrick joining the corporate from Microsoft.

Mattrick unveiled his turnaround plan last week when Zynga announced its second quarter earnings and surprised many with the scoop that Zynga was abandoning its efforts to launch real-money gambling within the U.S. The corporate said it will still pursue some real-money gaming partnerships abroad but that it wouldn't be venturing into online gambling within the U.S. after all.

Under Mattrick's leadership the corporate hopes to focus instead on its core strengths of casual social games corresponding to FarmVille, leaving other companies to brave the tricky waters of online gambling.

Ultimate Gaming was the primary legal U.S. poker room to launch several months ago in Nevada, with a number of different sites gearing up and looking ahead to approval to begin offering real-money poker and casino games themselves.


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