One of the biggest internet startup successes of the last couple years is Zynga, and the social gaming industry in general. For those of you who don’t recognize the company name, I can guarantee that you have heard of their games. They publish CafeWorld, Farmville and MafiaWars just to name three.
In a few short years, they have grown into a company with estimated revenues of 6-700 million USD per annum. That’s big business for a company that doesn’t have to advertise very much.
Over the last couple days, I have run across different articles calling Zynga “Farmvillains” and how the company is like Microsoft. The articles state that they just copy other games, and use their economies of scale to outmuscle the competition. Certainly, there is a lot of duplication in an industry with games like CafeWorld and Restaurant City. Or PetVille vs. PetSociety.
If I were in their situation (and the sat in the office of their CEO, Mark Pincus) I would probably do the same thing. The job of a company owner is to minimize risks and costs, and maximize revenues.
“I don’t fucking want innovation,” the ex-employee recalls Pincus saying. “You’re not smarter than your competitor. Just copy what they do and do it until you get their numbers.”
And their strategy of:
- Spot a successful social game in the wild (i.e. from a competitor).
- Copy it shamelessly, quickly and add a couple extra settings.
- Cross promote with current Zynga hits.
This strategy is certainly proving successful for them. But it’s not them alone that’s doing it, I imagine that Playfish (purchased by Electronic Arts) and Playdom (purchased by Disney) are doing much the same thing.
I have to wonder aloud if they are being criticized not just because of their idea theft, but also because they are not within the aegis of a larger company.
The only thing I would do different, is if I use someone else’s idea, I might as well buy the idea or the company from where I got it. Then I’d be aiming solidly to bec ome a monopoly for social games. Whereas right now, Zynga is using other game companies as their R&D laboratory.
A list of strikingly similar games from Zynga
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An interesting development, is that Zynga is trying to enter Asian markets, places where intellectual property theft is rampant, and IP laws are week. Here in Asia, we are WAY better at copying stuff than in the west. It will be interesting to see how Zynga fairs when up against the “anti-innovation” powerhouse of China. :)















