The recent LinkedIn IPO has inspired other major organizations in the internet space to hop onto the bandwagon. The latest in line to announce its IPO is the gaming giant: Zynga. While rumors regarding Facebook’s IPO have been doing the round, the announcement by Zynga came as a surprise. LinkedIn’s post-IPO valuation was more than twice its original value, which is proving to be quite an attraction to other organizations.
Zynga has definitely achieved success at a rapid rate owing to its highly addictive games that have been turning average Facebook users into farmers, mobsters and alternate city dwellers. The facts are there for everyone to see: Facebook reached 500 million users after 7 years; Twitter took 5 years to get to the 200 million mark while Zynga got to ’100 million users’ mark in mere 45 days. This clearly proves the kind of potential that Zynga has and the attraction it would provide the users.
The company, currently priced at $10 billion, is expected to demand a much higher price once the IPO is announced. The virtual business model is working wonders for Zynga’s popularity. While users can enjoy their games for free, certain upgrades are available with a paid option which enables the company to rake in the dollars.
Zynga is not the only one in line to announce its IPO. Besides Facebook there are various organizations like Groupon, Yelp, Zoosk, Twitter etc. that are planning to announce it soon. The games creator is backed by investors like Goldman Sachs and Digital Sky technologies amongst others.
The pace at which the internet is growing is remarkable. However, it remains to be seen if this boom will last long or will go the “Dot Com Bubble” way. As of now, it’s important to keep up with the pace and watch the internet and social media grow beyond your imagination.