Feeds

Facebook game outfit Zynga files for $1bn IPO

60 million virtual world obsessives

Eight steps to building an HP BladeSystem

Zynga – the online gaming outfit behind the wildly popular Farmville – has filed for an IPO, seeking to raise as much as $1bn.

According to the company's SEC filing, Zynga is actually a profitable company. In 2010, it reached $90.6 million in net income and $597 million in net revenue. In the first three months of 2011, the company accelerated its revenue growth – pulling in $235 million – but this came at the expense of profits, which topped out at $11 million.

The company has 60 million daily active users. These users spend 2 billion minutes each day wasting their lives away on its games, creating 38,000 virtual items every second. People pay Zynga real money for such virtual goods, and real businesses fork over additional dollars to be included in the company's virtual worlds.

Zynga's games run atop Facebook, and the company acknowledged in its filing that this is a risk. "If we are unable to maintain a good relationship with Facebook, our business will suffer," the filing reads.

The filing is part of a sudden mini-boom in web IPOs. Pandora and LinkedIn have already gone public, and Groupon has filed as well. ®

Mobile application security vulnerability report

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
White? Male? You work in tech? Let us guess ... Twitter? We KNEW it!
Grim diversity numbers dumped alongside Facebook earnings
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
Bose says today IS F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.