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The Circle of Ads: Zynga Using Facebook Ads

When I first saw the headline “Facebook Places Ads on Zynga” on The Wall Street Journal, my mind almost fell into an infinite loop. You see, Zynga is already buying ads on Facebook to promote their games. I had thought that headline meant that Facebook is returning the favor by buying ads on Zynga to bring on more users.

Nope.Turns out Facebook is testing out their own ad network on Zynga. Yes, looks like Facebook will be launching an ad network to compete with Google’s Adsense.

 

Facebook Places Ads on Zynga

Zynga

Facebook said it has begun placing ads on Zynga's website, another move by the social network to add revenue sources on the heels of its flawed IPO.

 

SEC Pressed Facebook On Zynga, Instagram And Zuckerberg's Control Pre-IPO

Facebook Lawsuits

Facebook went public just about a month ago, and on Friday the Securities & Exchange Commission released its correspondence with the social network in the months between its initial filing and the May 18 IPO.

Senh: Zynga makes up 19% of Facebook's revenue for 2011: “Please disclose that revenue from ads shown to users using Zynga apps on Facebook was approximately 7% of your revenue for 2011,” reads the April 10 letter from SEC Assistant Director Barbara Jacobs to Facebook CFO David Ebersman, “and that this is in addition to the 12% of your 2011 revenue derived from payments processing fees related to Zynga’s sale of virtual goods and direct advertising purchased by Zynga.”

 

How Zynga, Facebook and Groupon's Go-To Auditor Rewrites Accounting Rules

This story appears in the May 7 edition of Forbes magazine on page 150. Zynga, Facebook and all use an independent auditor that is simultaneously inventing the rules for social media accounting. Somewhere, Arthur Andersen is shuddering.

 

Dan Porter, CEO Of OMGPOP, Hired Back Laid-Off Workers Before $210 Million Zynga Acquisition

OMGPOP

With all the talk about excessive compensation, ponzi schemes and the nasty side of Steve Jobs, it might be easy to assume that all successful CEOs are jerks.

 

Zynga Purchases "Draw Something" Makers OMGPOP for $180 Million

OMGPOP

“OMG! A big Zynga group hug to OMGPOP, talented creators of Draw Something,” tweeted social games titan Zynga Wednesday. Apparently, in this universe, a “big Zynga group hug” translates to $180 million, the price that All Things D claims Zynga paid to acquire the makers of the most popular mobile Facebook app.

 

Zynga Seeks to Broaden Reach With New Gaming Platform

Zynga

Zynga, the creator of FarmVille, Words With Friends and Mafia Wars, announced a new gaming platform on Thursday that will match up players who do not know each other.

 

Meet The Company Behind Zynga's Fastest-Growing Business: Ads

Almost lost in Zynga’s disappointing fourth-quarter earnings report was one bright spot: advertising. Ad revenues jumped 230%, to $27 million in the fourth quarter–almost four times the social gaming company’s 59% rise in overall revenues. Chalk it up in part to a new, more interactive kind of ad from “engagement marketing” firm SocialVibe.

 

Looking For Facebook Love In Zynga Earnings On Tuesday

Zynga

We will be looking for any signs of an increase in Zynga's average revenue per user for its new games, which is one of the biggest drivers to its stock value, by our estimates.

 

Investors Dumping Social Networking Stocks En Masse

Mark Pincus: Zynga

Investors appear to be souring on social networking shares, a development which bodes ill for the eventual IPOs for Facebook, Twitter and other players in the industry. Perhaps unnerved by the lackluster reception for Zynga shares, the sector took a pounding in Monday's trading.

 

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