Zynga drops real-money gambling plans, reports quarterly loss
Zynga has reported a drop in second quarter earnings for fiscal year 2014.
The company noted a $16 million net loss, a 31 percent drop from last year, while overall revenue ended at $231 million.
“The next few years will be a time of phenomenal growth in our space and Zynga has incredible assets to take advantage of the market opportunity,” said CEO Don Mattrick. “To do that, we need to get back to basics and take a longer term view on our products and business, develop more efficient processes and tighten up execution all across the company.”
Coinciding with the release was the announcement that Zynga will no longer pursue a real-money gambling business.
“Zynga is making the focused choice not to pursue a license for real money gaming in the United States,” the company said in a statement. “Zynga will continue to evaluate all of its priorities against the growing market opportunity in free, social gaming, including social casino offerings.”