Zynga Inc (NASDAQ:ZNGA) has dropped three executives from its staff last month which seems to be action taken by new CEO Don Mattrick in a bid to restructure the ailing firm. Zynga Inc (NASDAQ:ZNGA) has been quiet over the matter.
Reasons for the departure not known
It is doubtful whether three parting executives are fired, resigned or some combination. Mattrick said that he is supervising over “deploying people at all levels of the company”. What he said during the second quarter earnings call seems to be materializing. He said during the call, “we are missing out on the platform growth that Apple, Google and Facebook are seeing,” and added “We have the ability to break some bad habits and get back to some good fundamentals.”
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Reports were first sourced from Bloomberg, which reported the exit of Nathan Etter, John Osvald and Jesse Janosov from Zynga Inc (NASDAQ:ZNGA). Following the news, TechCrunch sealed the departure news with a source familiar with the matter. One of the executives, Etter has updated his new role as Vice President in Disney.
Other two executives, Osvald and Janosav, have not yet updated their profile and are still quoted as Vice President-level executive at Zynga.
Zynga struggling on all fronts
Zynga Inc (NASDAQ:ZNGA) is a troubled social gaming company, and it comes out quite obviously that the company is slashing its headcount. Mark Pincus, former CEO and founder of Zynga accepted the fact that Zynga is sinking and stepped down from the post of CEO. He accepted that under his leadership the company has not rebounded.
Zynga has been in this critical situation because of the wrong decisions taken by some senior level management. Some of those executives have already exited the company.
For the second quarter, Zynga Inc (NASDAQ:ZNGA) posted lower revenue, a net loss, and declining daily and monthly active users of its different gaming titles. The company is financially strong to take forward process of restructuring but with caution. There are clouds over who will come to fill in the vacant positions and whether they would be from Microsoft Corporation (NASDAQ:MSFT), as well.
Since Zynga Inc (NASDAQ:ZNGA) launched its Initial Public offering (IPO) in 2011, at least a dozen of the top managers have departed from the company. Zynga games on Facebook are also losing their popularity. The case was in sharp contrast when Zynga issued IPO. At that time, Zynga Inc (NASDAQ:ZNGA) was the topmost maker of games played on Facebook with popular titles such as “CityVille,” “FarmVille,” and “Mafia Wars.” Record $1 billion were raised, biggest by any US Internet company since Google Inc (NASDAQ:GOOG) raised $1.9 billion in its 2004 IPO, as per data of Bloomberg.