Zynga confirms work force reduction, studio closures


Reports of layoffs at social gaming company Zynga started making the rounds yesterday during Apple’s event and announcements. These reports have since been confirmed, that Zynga has laid off approximately 5% of its work force, closing three studios and sunsetting 13 games in their stable. The company has also scaled back staff working on The Ville, a newer city-building title.

The reductions are in order to”…streamline our operations, focus our resources on our most strategic opportunities, and invest in our future”, according to a letter sent by Zynga CEO Marc Pincus to staff. On the chopping block are Zynga’s Boston studio, which has been closed, and the UK and Japan offices which may be shut down. Staff at Zynga Austin have been reduced as well. The 13 titles that will be shut down have not been reported.

The staff layoffs and closures point towards another poor performance when Zynga reports their earnings tomorrow. The social gaming company has seen a substantial downturn in recent months, losing several of their top executives in the process.

Source: Ars Technica


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