Information Madness

Zynga is half of the big IPO and the other half, is of course, Face book. Most probably, we'll see a company that's making money from a broad base of consumers is based on a technology which is scalable and maintainable.

Zynga is actually a beautiful and shark-like machine. The main focus of Zynga is on getting customers for payment for online interactions, and it is done well by it. The main work done by company is the building of cartoony games. They are really fun. The first click is free. To get successful at these games, payment should be done either by buying credits for in-game resources, or by joining of your friends. Or may be both.

The games are really nice enough that people willingly pay for these games and want to play again and again. Then the service is pushed on their friends not because they want to share the game, but because out of self-interest. The more will be the friends you have in your gaming world, the more success you will get.

On the back of Facebook's social network Zynga is built. Zynga would not be the cash- generating community without the Facebook graph. For making payment into Zynga games, all you need to buy is Facebook credits. A portion of all credit sales has been kept by Facebook for itself . That joins the success of these companies together.

There are no gaming companies close to Zynga and there are no social networks as good as Facebook. The two companies are different sides of the same monster.
These are not the same companies. Zynga is for pure playing community and more focused cash generator. It neither need to maintain the social network, nor have the same need to focus on privacy. It just keeps building games.

Facebook is a more diversified social networking site that make benefits from the success of Zynga, and emergent Zynga-alikes, but it's got to do more to keep people engaged on the site, and to keep the social network robust, and to keep users from shifting their attention to ompeting services. Zynga can graft itself onto almost any robust social network.

The social services Zynga and Facebook are good better short-term businesses than the real- world service Groupon, which is expensively buying its way in to markets and taking large losses in the process.