Zynga Appoints Don Mattrick as CEO
Zynga hs confirmed reports that Don Mattrick, the president of Microsoft Interactive Entertainment, is leaving his post to replace Zynga’s founder Mark Pincus as CEO.
Last month Zynga laid off 18% of its staff and closed offices in New York, Los Angeles and Dallas. The company also wrote of most of its OMGPOP acquisition, just a year after purchasing it for $180 million.
The move by Mattrick shows that social and mobile games are becoming a new area of profitability which could leave consoles and traditional gaming extinct. In 2011 mobile gaming was an $11.4 billion business while the console game market was just $18.5 million. Statistics from Socialnomics show that at least 81 million people play social media games on a daily basis, and this number is set to rise.
Casino related games are by far the most popular social games, as of January 2012 the industry already had 13.24 million active users. Most importantly these users are bringing in money. Over the next three years advertising on social gaming sites is expected to reach $900 million and by the end of this year social gamers are expected to have bought $6 billion worth of virtual goods.