A Safer Way to Play Mobile Gaming Stocks
Jun 15th 2012 7:41PM
Updated Jun 15th 2012 7:44PM
In today's video, Tamara looks at the fast-growing mobile gaming industry. With the global gaming market on track to reach $17 billion in sales by 2015, there are massive opportunities for investors. However, not everyone can stomach the risks inherent in speculative names such as Zynga (NAS: ZNGA) . A safer way to play in this space is by investing in the platform providers.
Companies such as Apple (NAS: AAPL) , Facebook (NAS: FB) , and Google (NAS: GOOG) take up to 30% of the app sales as well as in-game purchases processed by Zynga and others in the space. Apple's a big winner here, with more than 30 billion application downloads and upwards of $5 billion in payments to developers. This revenue share has been a significant source of income for Facebook as well, with Zynga accounting for 12% of the social network's total revenue.
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