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Take-Two is acquiring mobile game giant Zynga for $12.7B
- gigatexal 5y agoZynga was still alive and worth nearly 13B?!!
- tareqak 5y agoSame story from the Associated Press: https://apnews.com/article/technology-business-zynga-inc-aabda0ca76c6fdad9b1b11ae3d1af7a0 https://apnews.com/article/technology-business-zynga-inc-aab...
- ID1452319 5y agoCorrect me if I'm wrong, but in 2020 Zynga had revenues of $2,506m and losses of $270.3m. https://investor.zynga.com/node/16156/html https://investor.zynga.com/node/16156/html
- AuthError 5y agoMost of zynga's losses are due to acquisitions they make, they are otherwise very profitable, recently they have been acting as venture capitalist than developer.
- boeingUH60 5y agoYou made a mistake. It’s $2 billion revenue and $429 million loss in 2020, which seeven worse.
- boeingUH60 5y agoEdit: It’s $2 billion revenue and $429 million loss in 2020, which seems even worse. But note that Zynga’s losses are primary due to acquisitions they make to expand. They spent roughly $2bn on acquisitions in 2020 and $750mn in 2021.
- Hokusai 5y agoGTA developers need to know how Zynga fucked up their golden eggs goose to avoid the same fate for GTA itself. My guess is that Zynga does not know what happened, as anybody that knew what was going on got frustrated and left a long ago.
- mrkramer 5y agoTake-Two wants their mobile presence that's why they bought Zynga. The same story was with Activision-Blizzard when they bought King. Both Take-Two and Activison-Blizzard want to show their investors that they have strong mobile presence and strong mobile revenue.
- Hokusai 5y agoYes. I was just joking. Mobile is a big crazy market, and I can understand that everybody wants a chunk of it.
- ensan 5y agoSo to put this into perspective: YouTube: $1.7 billion Instagram: $1 billion Zynga, with groundbreaking games such as “wizard of oz slot”: $13 billion https://www.zynga.com/games/ https://www.zynga.com/games/
- xfour 5y agoThat’s just insane, whomever negotiated the sale of that corpse of a company either had some crazy inside pull at TTWO or should be made America’s top negotiator. As for anyone unlucky enough to still be playing a Zynga game, ( I think words is still active ) the micro transactions frequency I can imagine is going to go through the roof. Maybe the plan is to mine crypto using the userbase of something as aweful as that, otherwise the old Sony building must be valued at 12.5BB
- BudaDude 5y agoTo be fair , YouTube at the time was not profitable when it was bought . Zynga is not only profitable but it’s a public company .
- mrkramer 5y agoAt the time nobody knew would YouTube or Instagram succeed although they were growing like crazy and generally at the time valuations were lower. Nowadays everything is overvalued plus inflation is driving prices and valuations up in the last 2 years.
- aeternum 5y agoIt's still unclear whether YouTube would have succeeded without Google. Bandwidth costs were crazy and probably still are now that they support 4k/8k video.
- mrkramer 5y agoIt probably would because investors would put more money into it until they build up their infrastructure but surely Google enabled them to scale enormously.