Zynga Makes $200 Million App Purchase

By March 22, 2012 Uncategorized No Comments

 
Reported on All Things D, Zynga has acquired Draw Something’s developer OMGPOP for a reported $210 million. The split involves $180 million to own the rights to the game and an additional $30 million for employee retention payments.

 
Having raised 16 million over 4 years, OMGPOP has enjoyed a meteoric rise since developing Draw Something for itunes and Android. The game app which can be characterised as “social Pictionary” has maintained its position as the top app for both platforms, already attracting 30 million downloads which was a significant factor in receiving such a handsome offer. The web didn’t do anything for them in 4 years, the App Store did it for them in 7 weeks.

 

 
The move is not an anomalous strategy by Zynga. The mobile game juggernaut has acquired 14 game companies in the space of 12 months, solidifying a market leading portfolio of games. The acquisition by Zynga gives them one of the biggest gaming hits, and one of the biggest revenue earners with reportedly $250K a day from in app purchases.

 
I really need to get into the app development business.

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