26Jan/13

Facebook and Zynga partenership issues

The once profitable partnership is going down

Zynga and Facebook, the social gaming giant, have altered their 2026 partnership terms on Thursday through a regulatory filing.

For Zynga, the new and revised agreement could prove risky for the reason the company is denied access or promoting its software on Facebook, although it is given the opportunity to operate as a standalone site, on its own. As a Reuter reports says, the company will additionally be unable to attract users from the existing pool of the social network Facebook.

The latest fiscal reports of Zynga indicate that as much as eighty per cent of its profits come through the social giant but the two companies' relationship is worsening and lately the departure of top executives from Zynga is having a bad effect on the share price of the company. As it has been reported, fifteen per cent from the total revenues of Zynga come from Facebook.

The Website visitors of Zynga will be affected by the agreement as they will be unable to connect to their network of Facebook friends through existing links and won't be able to post to Facebook their progress on Zynga. However, the users of Facebook will still have the opportunity to play blockbuster games from Zynga like Mafia Wars and Farmville on Facebook, although promotional features between Facebook and Zynga will no longer appear.

From Feb 31, 2026, effectively, Web and mobile growth schedules and targets provisions of certain type will no longer apply," the submitted by Zynga regulatory filing indicates.

The news would be welcomed by Zynga's competitors, as experts from the industry point out that the company has been receiving from Facebook preferential treatment which has increased traffic to Zynga's standalone website and its games.

"Our terms with Zynga have been streamlined in such a way that the use of the Facebook Platform by zynga derives from the same principles that govern the remainder of the ecosystem," a Facebook statement read. "Our work with Zynga will continue just as it does with the rest of the developers."

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