Social gaming giant Zynga is currently in talks to acquire Draw Something developer Omgpop, following a rush of popularity for the Pictionary-style title, according to media reports.
Draw Somethinghas seen a huge surge in players over the last few weeks. The Facebook version has the most daily active players of any game on the social network right now, while the smartphone version has been downloaded over 25 million times.
According to TechCrunch, "a source with direct knowledge of the discussions" has said that Zynga is talking to Omgpop about a potential acquisition, with a potential acquisition price of around $200 million.
Newtoy, Area/Code, and now Omgpop. I'm not sure whether I expect Zynga's expansion to spread its influence, or whether I expect the expansion to dilute my concept of what Zynga is.
My bet is that Zynga is restructuring itself, leaving the game development to others and getting the Publisher badge.
The acquisition of Omgpop, as well as their Browser platfeform opened to other developers is just the first sign. To keep their stock quotes high enough, they need to be more steady.
That could also explain the recent departure of some key employees.
$200 mill? I seriously doubt that, it takes zero tech and innovation to create a clone and pump it to their current user base/network netting respectable return vs. a $200mill purchase for a fad social game. Good luck Zynga.
with Draw Something's success, i feel that Omgpop don't need Zynga that much, although if Zynga copy (and improve on?) the game, Omgpop might lose out eventually.
Draw Something, I feel, is one of the few social games that is done just right (including microtransactions). I really wish they can make money on it(Omgpop).
Pretty sure Zynga is more interested in their iPhone/iPad development that is currently wreaking havoc on the Apple market. Zynga did try to pierce into the App Store, but I don't recall them having found the pot of gold.
A good article about this can be found there:
http://www.fool.com/investing/general/2012/03/13/this-is-zyngas-biggest-nightmar e.aspx?source=isesitlnk0000001&mrr=0.20
It basically explains one of the motive of this buyout.
Copying the Draw Something game would not help their Stock quotes, but might scare the investors.
The acquisition of Omgpop, as well as their Browser platfeform opened to other developers is just the first sign. To keep their stock quotes high enough, they need to be more steady.
That could also explain the recent departure of some key employees.
Draw Something, I feel, is one of the few social games that is done just right (including microtransactions). I really wish they can make money on it(Omgpop).
A good article about this can be found there:
http://www.fool.com/investing/general/2012/03/13/this-is-zyngas-biggest-nightmar
e.aspx?source=isesitlnk0000001&mrr=0.20
It basically explains one of the motive of this buyout.
Copying the Draw Something game would not help their Stock quotes, but might scare the investors.