Zynga (ZNGA) Continues Bleeding Talent as Incentives to Stay Dwindle

The Zynga (Nasdaq: ZNGA) ship might be sinking, but some key executives aren't sticking around to ride it to see the ocean bed.

According to reports out Friday, about four managers at Zynga have left the company over the last month as share prices have lessened the value of compensation being received. The four GMs include:

• Ya-Bing Chu, VP of Mobile;
  
• John Schappert, COO (announced August 8th);
  
• Jeremy Strauser, a Studio GM;
  
• Erik Bethke, GM of "Mafia Wars 2"; and
  
• Alan Patmore, GM of "CityVille."

Given that Zynga's share value has fallen 68 percent since last year's much-anticipated IPO, stock options have dramatically lost value. Though the games are fun and social, deep integration with Facebook (Nasdaq: FB) still remains a key hiccup for Zynga's investors. Zynga has moved to distance itself from Facebook, launching its own social gaming area on its website, but key to transition from Facebook to solely Zynga comes down to quality of games versus competition on Facebook...a risky gamble. Barrier to entry in the gaming realm is not very high, though striking the right partnerships and deals is still important.

Shares of Zynga are indicated flat Friday morning.

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