Zynga is still dealing with a fraud lawsuit from 3 years ago, as U.S. District Judge Jeffrey White denied Zynga’s motion to dismiss the class action lawsuit.
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The suit alleges that Zynga lied to investors regarding the health of its games, its upcoming game lineup, and how changes in Facebook as a gaming platform would affect them. It also claims that Zynga management sold their stock early, anticipating the coming nosedive in value.
Between this and Zynga’s struggles to remain relevant in the market, it’s hard to see this once promising casual gaming giant have a bright future.
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