Zynga Shares Tumble After Facebook Agreement Disclosed
MENLO PARK (CBS/AP) -- Zynga shares were falling in after-hours trading after the online game company and Facebook disclosed in government filings that they changed the terms of their long-standing relationship.
Zynga Inc. said Thursday that it will no longer be required to display Facebook ads or use Facebook payments on its own websites— currently Zynga.com.
And Zynga will no longer have to use Facebook as the exclusive social site for its properties or provide Facebook with exclusive games.
The agreement also says that any social game Zynga launches will be available through Facebook at the same time or shortly after it launches on another social network, or through Zynga.
In a similar filing Facebook Inc. said it will be able to develop its own games, which it previously was prohibited from doing.
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