Zynga has announced that it will be cutting off 15 percent of its workforce that equates to over 300 employees as a part of its cost cutting drive through 2014.
In an update sent to employees, Zynga CEO Don Mattrick revealed that the company is looking to save somewhere between $33-35m over the course of the 2014 calendar year by taking off 314 employees off its payroll. Mattrick noted that this decision wasn’t taken lightly, but it will allow Zynga “to create a clearer, faster path to win.”
“We are saying goodbye to good people and I want to thank them for all of their contributions to Zynga. We wish our friends and colleagues well and know that they will all have future successes”, noted Mattrick.
Staff culling is a norm over at Zynga as the company not only laid off hundreds of employees last year, it even relieved quite a few top executives during 2013. Zynga’s financial performance has improved in the last quarter considering it ended up with an operating loss of just $25.2 million as compared to $48.5 million in the previous quarter.
The cost cutting drive comes on the heels of company’s plans of buying mobile games developer NaturalMotion for a whopping $527 million in cash and stock options.
“NaturalMotion expands Zynga’s creative pipeline, accelerates our mobile growth, and brings next-generation technology and tools to Zynga that will fast-track our ability to deliver consumers more hit games”, said Mattrick.
Through the acquisition Zynga aims to redefine the gaming industry by delivering blockbuster entertainment experiences.