Electronic Arts taking Zynga to court over The Ville

Well what do we have here? Apparently Electronic Arts thinks Zynga ripped off The Sims Social and is now taking the social games giant to court. More specifically, Electronic Arts claims that Zynga committed copyright infringement with The Ville, which does look quite similar to The Sims Social. Of course, we’ve known that EA has felt this way about The Ville for a while now, with EA complaining about the similarities between the two since The Ville launched in June.


Anyone who follows gaming probably knows that being accused of stealing is nothing new for Zynga. Many of Zynga’s games can look similar to other games out there, and usually the games Zynga is accused of copying were made by small teams of independent developers. This means that most developers don’t have the financial backing to be able to take Zynga to court, so nothing typically happens aside from a bit of bickering.

Anyone who follows gaming also knows that Electronic Arts isn’t a small indie developer. EA has more than enough money to throw at a lawsuit against Zynga, and in a 36 page complaint filed with a federal court in San Francisco, EA makes no bones about pointing out the similarities between the two games. It also gets in a few zingers at Zynga, like this one from point four of the complaint:

As The Sims Social increased in popularity and visibility, Zynga turned to its well-known competitive playbook: “Steal someone else’s game. Change its name,” then cross-promote the Zynga clone to its extensive user base. It has been widely reported that much of Zynga’s current position in the online social gaming market is not the result of creativedevelopment and innovation, but rather has been achieved through cloning rivals’ games.

Electronic Arts is demanding a jury trial, and is seeking damages and all of the profits made by Zynga’s perceived copyright infringement. EA definitely isn’t shy about claiming that Zynga copied The Sims Social, but ultimately that decision rests with the jury (if there’s a trial at all). Stay tuned, because this is sure to be a very interesting lawsuit.

[via AllThingsD]


Electronic Arts taking Zynga to court over The Ville is written by Eric Abent & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.


Zynga goes up against 2 more lawsuits

It is not surprising that in this day and age, something sweet and beautiful can turn sour in the blink of an eye. Take Zynga Inc. for instance, at one point in the company’s history, it more or less could not do any wrong, especially when you consider how all of its “Ville” games on Facebook were more or less a runaway hit. Well, the stock of Zynga has plunged to new lows since those lofty days, and to rub salt into a festering wound, Zynga has met up with a pair of lawsuits from shareholders who accuse the “FarmVille” creator of failing in their duty to warn investors about lower user and revenue growth, hence allowing its disastrous financial results to drag its share prices down further last week.

A couple of California law firms filed lawsuits that are looking at class-action status on behalf of stockholders, as shareholders are not happy that Zynga apparently concealed threats to its business and sales growth from investors. The lawsuit mentioned, “Zynga misrepresented or failed to disclose material adverse facts about its business, operations, and growth prospects.” Were you burned by Zynga’s tailspin stock price?

By Ubergizmo. Related articles: Judge not happy with Samsung revealing excluded evidence to the media, HTC withdraws a critical patent in their ITC complaint again Apple,

Zynga hit with investigation over questionable stock sell-off

Things just went from bad to worse for some of the folks at Zynga. Earlier this week the company delivered a less-than-stellar quarterly financial report, and now Ars Technica is reporting that some executives and shareholders are under investigation for dumping over $500 million in stock before the bad news hit and Zynga’s stock price took a dive. In other words, a few Zynga higher-ups could be in a whole lot of trouble.


The word “could” is key here, as you naturally can’t get in trouble for just selling off your shares. What five law firms want to find out, however, is whether or not these people sold off their stock with the knowledge that a bad quarterly report was on the way. The sell-off evidently occurred back in April, when Zynga’s stock was selling at $12 per share. These days, thanks in part to that underwhelming report for Q2, it’s selling at only $3 per share, so you can see why law firms are interested in the circumstances surrounding the sell-off.

Some of Zynga’s biggest players are being investigated, including CEO Mark Pincus, COO John Schappert, and CFO Dave Wehner. Strange as it may seem, Google is also included in this investigation, along with a number of venture capital firms. Zynga has yet to be hit with a lawsuit, but Ars points out that with so many law firms conducting the investigation, it may not belong before the company finds itself dealing with a class-action lawsuit from investors. If that happens, it’ll be nothing but bad news for the social games maker, so stay tuned.


Zynga hit with investigation over questionable stock sell-off is written by Eric Abent & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.


Zynga reports $23m social gaming loss as Facebook worries mount

Social game and Facebook stalwart Zynga has reported a dire financial quarter, casting a pall over casual gaming and leaving investors concerned that Facebook itself will underperform. On the surface, Zynga was doing everything right: daily active users were up year-on-year in Q2 2012 from 59m to 72m, with monthly unique and active users also both up (to 192m and 306m respectively). However, that still wasn’t enough to avoid a net loss of $22.8m, despite online game revenues rising 10-percent year-on-year

Revenues overall were up 19-percent over the same period, to $332.5m, and up 4-percent quarter-on-quarter. However, online game revenues dropped $1.2m between Q1 and Q2 2012, with stock based expense costing $95.5m in Q2, versus a third of that in Q1.

Zynga is now warning of a less fruitful end to 2012, with delays in launching new games and a faster than expected decline in existing titles. Part of the problem, according to Zynga CEO Mark Pincus, was down to changes Facebook made to its site, which caused Zynga’s engagement and bookings fall.

What remains to be seen is how Facebook performs, with the site expected to reveal its own financial results later today. The figures will be the first since Facebook floated its IPO back in May, which saw a record opening but subsequently proved lackluster for investors.


Zynga reports $23m social gaming loss as Facebook worries mount is written by Chris Davies & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.


Zynga to offer real-money gambling in 2013

Enough with that silly fake money in Farmville and the lack of real-world thrills in Zynga Poker. The country’s favorite social game company is looking to expand into the world of sin and will offer a poker game that allows players to gamble actual money sometime in the first half of 2013. However, don’t expect it to be hosted – or perhaps even playable – in the US, where online gambling is all but expunged due to several state laws banning the practice.

The announcement came from Zynga CEO Mark Pincus during a conference call today with investors. Just looking at some of the reports when it comes to this market makes it very easy to realize why the company would want to go down this new path. For example, Zynga users currently spend an average of $2 – $3 per month. Of course, multiply that by millions of users and you’re doing pretty well. But by comparison, online gambling sites typically see revenues of around $300 per paying user per month.

It will be the first time such a major name outside the world of gambling hopes to make it big in the online gambling world. Every other noted video game publisher has shied away from it because of many issues, not the least of which is that real-world gambling gives publishers an automatic “AO” rating from the ESRB, and most publishers are ingrained in the video game rating system so deeply that they don’t dare launch a game that doesn’t have that group’s stamp of approval. Of course, the legalities also play a huge role in this. This is going to be an interesting story to watch.

[via VentureBeat]


Zynga to offer real-money gambling in 2013 is written by Mark Raby & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.


Zynga posts $22.8 million loss in Q2 2012 report

Zynga‘s report for its second quarter has landed, and some things about it aren’t looking too hot. The social games giant reported a loss of $22.8 million for the quarter, which is down from the $1.4 million the company made during the same quarter last year. Revenue, on the other hand, was up for the quarter, rising 19% year-over-year to $332 million, so the news isn’t all that bad.


Some more good news for Zynga: the company reported that daily active user numbers have climbed to 72 million, up from 59 million in Q2 of 2011. Monthly active user numbers also got a boost in Q2 2012, with Zynga claiming 306 million MAUs, up 34% from Q2 2011′s 228 million. In keeping with the company’s trend for the quarter, monthly unique users also experienced growth, getting up to 192 million as compared to the 151 million it was able to boast at the same time last year. The company’s adjusted earnings-per-share came in at just a penny, which failed to meet expectations of $0.05 per share.

So, it’s a bit of both good and bad for Zynga. Having to post a loss is never good, but at least Zynga managed to get its active user numbers up during the quarter, which is one of the big things investors were worried about. However, user numbers don’t mean everything for Zynga, as most of its users don’t pay anything to play its games. Zynga makes most of its money from a small subset of its larger user base, so the best user numbers in the world don’t mean anything if none of them are paying.

Are Zynga’s fans leaving the company behind as they begin to graduate from Facebook social games to mobile games? That remains to be entirely seen, but Zynga is definitely one to watch as we head into quarters 3 and 4 of 2012.


Zynga posts $22.8 million loss in Q2 2012 report is written by Eric Abent & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.


Zynga and Hasbro take Farmville offline with new card game

Last month, Zynga released Farmville 2 after being wildly successful with the initial Facebook-based version. Now, the company has taken the highly addictive farming game offline and developed a new card game for ages four and up, called Farmville Memory. Zynga had started making deals with toy companies in February, which included a licensing deal with gaming company Hasbro.

Yesterday, Hasbro had actually reported its second quarter earnings, which showed a drop of 25 percent in profit as a result of falling sales in most major categories. But despite a lackluster earnings report, the company is optimistic that the partnership it has developed with Zynga can bring it back up by bringing together a digital a digital gaming experience with an analog one.

Zynga games are played by nearly 240 million people on Facebook each and every month. Nobody knows exactly how demand there may be for offline Zynga or Farmville products, but the partnership is likely to benefit both companies. Online gaming company Rovio is proof that it can work, with 30 percent of its revenue coming from merchandising and licensing in 2011.

[via TechCrunch]


Zynga and Hasbro take Farmville offline with new card game is written by Elise Moreau & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.


Zynga’s Farmville turned into a card game

Farmville MemoryAs though having millions of people on the internet hooked onto Farmville isn’t enough, it looks like Zynga is out to grab more players – this time in the physical games market. According to reports online, Zynga has been forging deals with toy companies and retailers to bring its virtual games into the real world. One such game being developed with Hasbro is called Farmville Memory, a card game for ages four and up.

Not much about the card game has been revealed but the word “Memory” in its title is probably a hint at the sort of gameplay it involves. No word on when the game will hit the market or which games Zynga will be converting into offline titles next but we’ll keep you posted. Mafia Wars board game, anyone?

By Ubergizmo. Related articles: Rumor: Google Investing In Zynga For Google Games?, Transformers: Fall of Cybertron new trailer released,

FCC Fridays: July 20, 2012

FCC Fridays July 20, 2012

We here at Engadget tend to spend a lot of way too much time poring over the latest FCC filings, be it on the net or directly on the ol’ Federal Communications Commission’s site. Since we couldn’t possibly (want to) cover all the stuff that goes down there individually, we’ve gathered up an exhaustive listing of every phone and / or tablet getting the stamp of approval over the last week. Enjoy!

Continue reading FCC Fridays: July 20, 2012

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FCC Fridays: July 20, 2012 originally appeared on Engadget on Fri, 20 Jul 2012 18:12:00 EDT. Please see our terms for use of feeds.

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Zynga working on cross-platform gaming network

Zynga has announced that it’s hard at work on a cross-platform gaming network that will allow people on different devices to play the same Zynga video games together. The company plans to call the gaming network Zynga With Friends. The goal of network is to take the 290 million people that play the company’s games each month and allow them to play together across multiple platforms.

The plan was announced this week and intends to allow players to play against each other whether they’re playing on the web, Android devices, iOS devices, Facebook, or Google+. The core of the service will be focused on the Zynga message center found on Facebook and Zynga.com. That message center contains the player’s friends list and a feed with the activity of all of their friend’s gaming status.

The system can even suggest games based on what games the user and people on the friends list are already playing. The platform will also allow users to connect using the recently launched real-time multiple player feature that allows players to play with or against each other simultaneously rather than typical turn-based play. Zynga hasn’t offered a firm date for the launch of its Zynga With Friends network simply saying it will come in the “near future.”

[via AllthingsD]


Zynga working on cross-platform gaming network is written by Shane McGlaun & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.