Competition is always good unless people start losing their jobs. Zynga laid off 520 employees this week, 18% of their global workforce. Completely shutting down it's offices in New York, LA, and Austin.This is due to Zynga's push for mobile, they realized that smaller teams working on projects are much more efficient. They also want to concentrate in less franchises and to replicate the success of their startup competition like say... KIXEYE.
SWAG, a KIXEYE community manager said: "If anyone out there is affected by this, let me know right away."
This has been one of a series of major blows to Zynga after a lot of executives have left the company and their low stock price. Zynga also shuts down OMGPOP which they acquired a year ago. This company will have to change if they want to be successful in the long run. Decisions like this are hard but they're needed.
On the other hand, this is proof that the social gaming landscape is changing and it's the gamers that will benefit from the sharpening of old companies to modern ones, gaming companies that will be successful if given the right road to drive on. If Zynga could reinvent itself like how other gaming startups do then we're in for a bright future in gaming.
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