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Original founder and chairman, Mark Pincus, is replacing Don Mattrick as CEO of Zynga.
Mattrick’s resignation was one that was effective right away. Although Zynga is still releasing new products, the replacement was quite predictable because there wasn’t much change in the financial progress of the company during Mattrick’s time as CEO. New mobile versions of Words With Friends and Zynga Poker were released and they didn’t do great from the start but eventually ended up making some profit. Unfortunately, delays in the games caused the company to lose money. Not only that, dedicated fans of the original Zynga Poker were outraged at the new version of the game that Zynga had to offer Zynga Poker Classic which is the original version.
“We realized we needed to accelerate these moves to differentiate our games,” Pincus said. “Zynga has hit a lot of goals in terms of product quality and becoming a mobile-first company. That’s flipped from where it was a couple of years ago. I think there is a realization and frustration from Don and me and the board that we could do better. At a minimum, you should see results show up in consumer value and audience size and engagement.”
Mark Pincus, Chairman and Founder, Zynga
The issue is with the struggle that is still present when it comes to cementing their company’s position against Supercell (Clash of Clans) and King (Candy Crush Saga) when the mobile game market could potentially reach $30 billion this year. The problem with the replacement of CEO for Zynga is that Mattrick personally picked out almost every person in the executive suite. No specifics were announced as to whether Mattrick’s people have been fired or not. Currently they are all still holding their positions and Pincus doesn’t think of them as “Don’s people”. Even with this it is still unknown what will happen in the future. Zynga will report its first quarter earnings May 7.