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Zynga Backs Out of Nevada Online Gambling

Zynga Backs Out of Nevada Online Gambling

Zynga, one of the world’s largest social gaming companies, appears to have decided to stick to what it knows best and delay entering the real-money online gaming industry.

The proof: Zynga has withdrawn its initial application for an online poker license in Nevada.

Zynga was one of the earliest winners in the social games business with the launch of its successful Farmville game on Facebook. But as other social games were developed, Zynga began to lose both ground and revenue.

The company later entered the social-money gaming industry, and intended to follow through with real-money versions of the games. Zynga reached an agreement with Facebook to begin rolling out real-money games in the U.K., which later would expand to Canada and other popular gaming destinations.

Earlier this year, however, Don Mattrick, a former Xbox executive, took over as CEO of Zynga and has moved the company to shore up Zynga’s social gaming business before expanding into real-money gambling applications.

Zynga then announced its pullout from Nevada, and has also made the decision not to apply for gambling licenses in New Jersey or Delaware, where online gambling sites will go live in the next few months.

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