Will Zynga Bring Online Gambling to the Masses?
Zynga CEO Mark Pincus has stated that Zynga is in no way after the big spending high rollers that constitute a small percentage of the online gambling arena. Instead he has said that Zynga will be there for the casual gambler offering a mix of real money games with a little of what it does best..social gaming. Pincus said, "It makes it more exciting than when you're by yourself in an anonymous poker room, we're not the company to win the hardcore real-money gamers," he said. "But we think we are for the mass market audience." The thinking of course stems from Zynga's huge success in social gaming and should that transpire into the real money market then all will be well and good for them. There was no mention of when real money gambling would begin in the UK but things are in place and all things seem to point to sometime this quarter. Bwin.Party has already been named as Zynga's partner in the venture providing the software required, whilst they have also applied for a license in Nevada. There has been a fair amount of restructuring of late too as many top execs have moved on and offices around the world have been moved into other available space or closed down full stop.
Analysts Predict Bright Future
Susquehanna Financial Group analyst Joseph Stauff believes that Zynga are readying themselves for a very bright future with the company reorganization and cutting loss making games. Shares are definitely on the up and the news of the legalization of Online Poker form New Jersey has done nothing but good for them. With many states now thinking about legalization in one form or another Zynga as a well known and respected provider of social games and a huge player database is in prime position to enter the real money market. A few numbers have been thrown around and Stauff thinks Zynga are, “likely to attract strategic interest over the next year" and “We view significant value in its U.S.-based stable of players where scale is necessary,” and finished with, “And only Caesar’s and Zynga have ‘current’ databases of online players.”