Zynga to Lay Off 5 Percent of Workforce

Virtual farms lie fallow

Zynga confirmed that it started laying off U.S.-based employees ahead of what is expected to be a weak third-quarter earnings report. In all, 5 percent of the company's full-time workforce is being let go. As of the end of this March, the company had 2,916 employees so the final tally is probably close to 150 employees.

The key details are that the company is sunsetting 13 games and is significantly reducing its investment in its life simulation game The Ville, which as we reported earlier is being sent to the Zynga's India offices for maintenance.

The company also confirmed that it's shutting down the Boston office, as we reported earlier. Zynga is also proposing the closure of its U.K. and Japanese studios.