Zynga Loses One Million Players Every Day
New ranking results suggest that Zynga (NASDAQ: ZNGA), the company behind FarmVille and Words With Friends, is losing one million players every day.
On October 1, AppData -- an independent researcher of metrics and trends -- reported that Zynga had 340 million monthly active users. As of today, October 24, AppData shows that Zynga has declined to 316 million MAU.
Assuming that data is correct, it means that Zynga has lost 24 million players in just 23 days.
In addition to the loss of millions of players, Zynga has parted ways with more than 100 employees. The company has closed its Boston studio and eliminated the majority of its staff in Austin. Zynga hopes that it can offset its tremendous and ongoing losses by reducing overhead. Under the best of circumstances, this strategy might work. Unfortunately for Zynga, the games are declining in popularity.
Zynga's Chief Executive Mark Pincus was rumored to be interested in taking Zynga off the public market, but these rumors have yet to come to fruition.
Despite the company's troubles, Zynga managed to form new partnerships with Nokia (NYSE: NOK) and Hasbro (NYSE: HAS). It is unknown how much revenue (if any) that the company will derive from these ventures.
Follow me @LouisBedigianBZ
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.