Post-IPO Zynga Struggling to Survive
Zynga Executive Exodous
The big news from Zynga recently has been the steady exodus of top level executives heading for the door. Since the beginning of August, chief operating officer John Schappert, chief creative officer Mike Verdu and chief marketing officer Jeff Karp have all tendered their resignations.
While Zynga has a reputation as a tough place to work, the stream of drop outs is more likely the result of the company’s precarious stock value. The company’s much hyped IPO opened at around $9 back in December and peaked out at $14.69 in March. As of September, 11, it was trading at $3.02.
The company’s been struggling to stay relevant in the rapidly evolving world of mobile games and smart phones. They’re hoping to get a boost from the upcoming release of Farmville 2, as well as new ventures in virtual money iGaming that could transition into real money gaming. It’s hardly the scenario company officials envisioned when their stocks went public earlier in the year.
Zynga’s story is, however, a sign of just how fast fortunes change in the world of big-time social media.
Do you think Zynga can pull out of its current nosedive? Share your thoughts in the comments section below.