Facebook’s Zynga Sales to Reach $500 Million, GreenCrest Says
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Zynga Inc., the online game company that’s preparing for an initial public offering, will generate $500 million in revenue for Facebook Inc. this year, according to GreenCrest Capital Management LLC.
The maker of “FarmVille” and “CityVille” will pay $100 million for advertising on the social network, and Facebook’s 30 percent cut of virtual-goods sales in games will bring in $400 million, said Nitsan Hargil, an analyst at GreenCrest, in a conference call today. That represents about 10 percent of Facebook’s total revenue, he estimated.