Big Money in Small Games

Since the success of its “FarmVille” franchise, developer Zynga has emerged as a leader in the mobile gaming industry.

Zynga totaled $616 million in fourth-quarter revenue, up 52% over the prior year — a company record. Revenue for its full fiscal year reached $1.97 billion, up 49%, also a record.

The company now projects revenue of $2.6 billion for 2021. 

Other powerhouses are getting in on the mobile action, too. 

• Electronic Arts announced it will acquire developer and publisher Glu Mobile in a deal worth $2.1 billion.
• Glu Mobile has been making games since 2001 and is responsible for titles like “MLB Tap Sports Baseball” and “Kim Kardashian: Hollywood.”
• The company reported revenue of $540.5 million last year. 

EA’s decision to acquire Glu Mobile comes during a buying spree. In December, it agreed to a $1.2 billion acquisition of Codemasters, which makes several popular racing games, including “F1 Mobile Racing.”

Activision Blizzard, the company responsible for “Call of Duty,” has expanded the global reach of the franchise’s mobile version. After launching in China — what the company called “the largest mobile alliance in the world” — the game was downloaded over 50 million times.