Thursday, 22 March 2012
Draw Something
It is reported that Zynga is buying DRAW SOMETHING from OMGPOP for $180-$210million, do you think that is expensive??
Do you know what is Draw Something, draw something is:
- hottest game recently that allow the players to draw something and send it to friends to guess what you drawing, i have been playing this for sometimes
- surprisingly, this is a 6 weeks old app/game that launched in Apple App store
- Top app downloaded in 79 countries
- It has been downloaded 35+ million times
- It has 12+ million daily users
- Generates $250k of revenue per day
What can you do with $210m? You can easily start a new business, trading, financial services, investment company and so on. If you want to do something bigger, maybe you can invest in some resources company in Asia or Australia; gold, coal, timber, tantalum and etc now they are hot enough and they will bring you some good returns. Or be a lazy man, keep the money in the bank and earn interest... you may earn a million per year..
If Draw Something business model is sustainable and with $250k per day, that is about $91,250,000 per year. With 210m consideration, that is only 2X of revenue, i think this is quite cheap....
But I always have doubt in the business model for Application or game company, although they have massive revenue now, my question is how long can this sustain? but at the mean time, draw something is really happening!!!! time will prove....
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