From The Motley Fool
In the final week of June, Zynga (NASDAQ: ZNGA) announced that another key member of the organization, Andy Tian, the head of its Beijing game studio, was leaving the company. As a result, shares dropped by nearly 7%, touching a five month low. But then, it announced the arrival of Don Mattrick and its stock rallied. The company is moving forward in its “year of transition” that now includes a leadership change, in addition to cost-cutting measures and the strategic shift from developing only casual games.
King of console gaming
In the beginning of July, Zynga revealed that its founder and CEO, Mark Pincus, is stepping aside. He will be replaced by Don Mattrick, an Electronic Arts (NASDAQ: EA) veteran and the head of Microsoft’s Xbox unit, who will steer the struggling game developer out of the crisis. Mark Pincus’s departure hasn’t surprised anyone, as he wasn’t shareholders' or employees' favorite. Moreover, the company’s performance, particularly the previous results reported in April when its sales plunged by 30%, expedited Pincus’s exit.
