Zynga has applied to the Nevada Gambling Control Board as a first step towards preparing to offer gambling in the US for real money if new legislation comes through. The social game developer, which created games like FarmVille and CityVille is hoping that real-money gambling (RMG) will prop up its failing business, which has this […]
Zynga has applied to the Nevada Gambling Control Board as a first step towards preparing to offer gambling in the US for real money if new legislation comes through. The social game developer, which created games like FarmVille and CityVille is hoping that real-money gambling (RMG) will prop up its failing business, which has this year seen steep drops in share prices, executive level resignationsand hundreds of employee layoffs.
Zynga is preparing for possible changes in the legislation surrounding real money gambling in the US by filing their preliminary paperwork with the Nevada Gambling Control Board.
As a first step, the Board must offer a preliminary finding that Zynga is suitable to hold a gaming license in Nevada.
The finances and regulations of the company will come under scrutiny before the Board will conclude its evaluation.
Should the application be successful, it would allow gamers in Nevada to gamble using real-money via their computers. Users with IPs registered outside Nevada will not be able to access the games.
Zynga is actively seeking new revenue opportunities after it posted a loss for Q3. It has seen its shares drop by more than 75% this year and the possibility of offering real money games in the US is appealing.
In an official statement, Zynga’s chief revenue officer Barry Cottle said the process of developing an online game market for Zynga could take more than a year:
“We anticipate that the process will take approximately 12 to 18 months to complete. As we’ve said previously, the broader U.S. market is an opportunity that’s further out on the horizon based on legislative developments, but we are preparing for a regulated market.”
Zynga has also partnered with PartyPoker.com owner bwin.party to introduce real-money gambling games to the UK in 2013. Although RMG games are available in the UK via Facebook in the form of Bingo Friendzy, it’s likely that Zynga will host its own website, after it was announced in November that the company had ended its exclusivity deal with the social network.
