As Facebook shares priced at $38, moved toward $42 and then retreated back to the offering price, Zynga shares collapsed. In fact, Zynga shares hit stock exchange circuit breakers and were halted. A circuit breaker is hit when a stock falls 10 percent, 20 percent, and 30 percent. A circuit breaker is essentially a trading time out.CNET's complete coverage: Facebook's monster IPO
Right now plenty of folks at Zynga are likely wishing this whole stock market thing was just a big social game.
As Facebook debuted on the Nasdaq this morning, the social game maker, which both enjoys and endures a symbiotic relationship with Facebook, saw its own stock fall off a cliff, dropping 13 percent, or $1.10 a share. That drop brought the stock to a new all-time low of $7.17 and triggered a freeze on trading of Zynga shares.
Zynga hasn't forgotten about a next version of FarmVille, but has largely set its 2013 pipeline and concedes the hit game is "an important franchise for us."
Speaking at the J.P. Morgan Technology Media and Telecom conference today, Zynga CFO Dave Wehner was asked about an updated version of FarmVille. Here's what he said, according to a transcript:
We haven't announced anything about an updated version of FarmVille. Clearly, that's an important franchise for us and it's an important category for our users, and we'll want to continue to serve that … Read more
The clock is about to start ticking.
When Facebook goes public later this week -- potentially commanding a lofty valuation of more than $100 billion out of the gate -- the demands on the 28-year-old Mark Zuckerberg will far outweigh any sartorial silliness about what he should or should not wear.
Not that there is any immediate pressure to perform for Wall Street given the understandable excitement about the huge number of people using Facebook every month -- a customer base now approaching some 15 percent of the world's population. But honeymoons for newly public companies only last so … Read more
YoVille players starting posting complaints on the gaming company's forum about a month ago. Strange happenings were afoot -- players' virtual items were stolen and not returned and some players' property supply was completely depleted.
Apparently, the game had been hacked. According to the tech news site VentureBeat, hackers disrupted YoVille's gameplay for about 1,000 players during a couple weeks of April. "The Best YoVille Hackers" claimed responsibility for the hack.
"We detected unusual activity in YoVille, and it coincided with reports from a small number of users," Zynga's chief security officer … Read more
Interest in Draw Something appears to have peaked and then fallen off a cliff.
The wildly popular game, which most resembles the board game Pictionary, was released in February, and within the first two weeks, it skyrocketed with 10 million downloads. Quickly, both the free and paid versions were No. 1 on iTunes' download charts.
By early April, the game had exceeded 50 million downloads and boasted more than 14 million daily users. However, in the past month, Draw Something has lost 4 million daily active users, according to data from market analyst AppData, which says it collects information directly … Read more
We love Facebook pranks as much as the next guys, but not when it's coming from an anonymous source at Best Buy. As if we needed another reason not to step foot in the big blue retailer, we read this story about a Best Buy employee that posted a phony Facebook status update on a customer's phone. The message declared, "I am gay, I'm coming out," but there's one problem: the customer is straight.… Read more
Update: 4:45 PM P.T. Zynga's stock rose in after-hours trading after the company's first-quarter earnings report beat Wall Street's expectations.
"We're pleased with the progress that Zynga has made in the first quarter growing our audience reach 25% year over year and nearly 20% quarter over quarter. Our team did a great job launching 5 new games across mobile and web including new hits like Hidden Chronicles, Slingo and Scramble with Friends," CEO Mark Pincus said in a statement.
Zynga had revenue of $321 million, up 32 percent year over year and … Read more
Draw Something (iPhone|Android) hit it big at the iTunes App Store by following a simple concept: draw a picture that describes a word, then send it to a friend to guess the word. The game took off immediately at the iTunes App Store for its close resemblance to board game Pictionary, but there were still rumblings from users of features that could make it better.… Read more
A U.K.-based Zynga competitor has made some strategic moves to assert itself in the social-gaming space.
Zattikka announced yesterday that it has completed the acquisitions of online-gaming firms, Hattrick Holdings, Sneaky Games, and Concept Art House.
According to Zattikka, Hattrick Holdings is best known for its free-to-play online soccer manager, Hattrick. Concept Art House is a development studio that has worked on a host of games, including Command and Conquer and World of Warcraft. Sneaky Games has a three-game portfolio focusing on online role-playing games.
"The vision for the company is to become a large scale, diverse … Read more