Zynga, the number one social gaming company in the world, just announced its own social gaming network – Zynga Direct – at the Zynga Unleashed event.
Zynga has been too dependent on Facebook for user traffic in the past, and is apparently trying to change that now. It recently launched games on Google+ too. Zynga will make all its games available on Zynga Direct, while continuing to launch new games on Facebook and Google+.
Zynga’s user numbers had dropped off in the last quarter, as it hadn’t launched any new games. Its profits also took a significant hit, which it attributed to Facebook’s 30% cut in all transactions. On its new network, Zynga will have much better margins than on Facebook, as it won’t have to shell out any cut to anyone.
Zynga plans to raise almost $1 billion through the IPO route soon, but its planned IPO has been delayed due to turbulent macro conditions leading to the IPO window closing down for many tech startups.
Zynga also announced three new titles, which will be compatible with Facebook’s new iPad app.
The virtual goods market is set to explode in the coming years, and Zynga is currently the biggest player in social gaming. However, it hasn’t had a major hit in a few months, while EA, its largest competitor, has hit it off with Sims Social.