Mobile Game Makers on Watch as Angry Brids Producer Announces Layoffs (ZNGA) (KING)

Zynga (Nasdaq: ZNGA), Glu Mobile (Nasdaq: GLUU), and King Entertainment (NYSE: KING) are on watch following news of layoffs from Angry Birds maker, Rovio.

The following was posted to Rovio's website on Thursday:

We work in businesses that are so fast moving that the only constant is change. At Rovio we have always been innovative and forward-looking, and to succeed we need to be the best at adapting to change.

We are an entrepreneurial company and have been exploring multiple areas. We have been building our team on assumptions of faster growth than have materialized. As a result, we announced today that we plan to simplify our organization around our three key businesses with the highest growth potential: games, media, and consumer products. Unfortunately, we also need to consider possible employee reductions of a maximum of 130 people in Finland (approximately 16% of workforce).

It is never easy to consider changes like this, but it is better to do them sooner rather than later, when we are in a good place to reignite growth.

At Rovio we live to delight our fans. This year we have more launches and news than ever. As we consider these painful measures, we keep our eye on always delighting our fans with products they love.

Mikael Hed
CEO

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