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Economics

Zynga Shuts Down Bunch of Games to Cut Costs

Bring on the next fad!

Reason Staff | 12.31.2012 5:15 PM

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Executing the cost-reduction plan CEO Mark Pincus announced in November, Zynga has shut down, pulled from the app stores, or stopped accepting new players to 11 games, with some turning off today. The gaming giant will reallocate resources to more successful titles as well as creating new ones. Along with layoffs, the shutdowns are part of the hard road to recovery for Zynga.

The San Francisco-based company had overextended itself. During its heyday on Facebook it built dozens of games, then aggressively launched mobile games as smartphones gained popularity. It didn't seem like a problem when the company was preparing for a big IPO.

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