Zynga Bolsters Real-Money Initiative; Adds Online Gambling Expert to Team

12 September 2012


Zynga, the provider of social games services to over 240 million average monthly users around the world, pressed forward in its quest toward real-money gaming apps with the appointment of Maytal Ginzburg to its executive team. Maytal Ginzburg’s most recent position was the Senior Vice President at 888 Holdings, a global online gaming company that brings the world (with, of course, the exception of the United States in many cases) online bingo, online poker, online casino, and online sport wagering.

Despite launching several free social games in 2012  (Hidden Chronicles, Zynga Bingo, Scramble With Friends as well as others aimed at Asian markets, like Montopia and Ayakashi: Ghost Guild), Zynga is what MSN Money analysit, BenZinga, calls “a struggling mess”. Benzinga continues his assessment:

The company continually tops the charts of AppData.com but can barely maintain a consistent stock price. On Aug. 2, Zynga shares hit an all-time low of $2.70. Four weeks later, the stock has yet to recover. The company has attempted to offset its losses (and quell investor worries) with a venture into mobile game publishing. Zynga has not been successful, but the company hopes that a deal with Nokia will help turn the tide. That, however, is unlikely to happen unless Nokia can turn its own company around.

So it appears that Zynga is not only interested in gambling online, but also in gambling a bit with its very future. With online gambling on loose legal footing in the United States, all of this set up could be for naught.

On the other hand, Zynga’s maneuvering could land just short of genius.

Nearly all of  Zynga’s newest game releases have be created to take advantage of online gaming, should it become legal in the United States. This forward thinking (and hoping) could give them the advantage they need over larger, more secure online gambling companies who would otherwise protect their large turfs. And, with influence in over 175 countries, the impact of just one successful real-money game could be enough to brighten the company’s financial outlook.

Bloomberg TV calls Zynga a “stock to watch” and lists the company with Apple, Facebook, and Youku, a Chinese video hosting service.

Related News

  • 03 December 2010

    Republicans Fear Secret Online Gambling Bill

    At least three Republicans in the U.S. House, Representatives Spencer Bachus, Dave Camp and Lamar Smith are raising a concern over what they see as an effort in this lame duck session of Congress to pass legislation that would legalize online gambling in the United States.

    Read full article
  • 14 December 2010

    Will There be Legal Online Gambling in the United States?

    Its seems like those of us in favor of regulated online gambling are on pins and needles lately, much like in 2006 when things looked like and eventually did go the other way with the passing of the UIGEA. Every day there seems to be a little more information coming out as to the possibility of having some sort of legalized online gambling in the United States before Congress adjourns.This week, casino industry’s top trade group, The American Gaming Association, said that it supports U.S.

    Read full article
  • 20 December 2010

    Legalized Gambling in U.S. Running Out of Time

    “On behalf of the millions of Americans who play online poker, I am disappointed Congress has not acted to implement important licensing and regulation of this growing industry. Not only will this include valuable consumer protections, but it also will pump much needed funding and jobs into the weakened U.S. economy. It’s a missed opportunity, pure and simple.

    Read full article