Despite a worrisome June quarter, Zynga is by any measure an amazingly successful business. It is now consistently profitable on nearly a billion dollars in revenue, having been founded only in 2007.
But how does Zynga make money, exactly?
Two ways:
From the sale of so-called virtual goods, which are used as currency within Zynga's online games and are items that help the player in the game, and
From advertising, both in and around its games.
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