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Zynga's Tough Culture Risks a Talent Drain Few Internet start-ups have grown as swiftly as Zynga, creator of a sprawling network of virtual farms, cities and poker tables that is preparing to go public in one of the most highly anticipated offerings this year.
Led by the hard-charging Mark Pincus, the company operates like a federation of city-states, with autonomous teams for each game, like FarmVille and CityVille. At times, it can be a messy and ruthless war. Employees log long hours, managers relentlessly track progress, and the weak links are demoted or let go.
But that culture, which has been at the root of Zynga's success, could become a serious liability, warn several former senior employees who agreed to speak on the condition of anonymity because of fear of reprisals.
As the discord increases, the situation may jeopardize the company's ability to retain top talent at a time when Silicon Valley start-ups are fiercely jockeying for the best executives and engineers. It could also hamper deal-making, a critical growth engine for Zynga, which has spent about $119 million on acquisitions in the last two years.
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