[fusiongyro]

It's only a problem if Zynga chooses to purchase other people's winning games at huge rates. You can't throw half a billion at every kid who writes a successful game and expect in-app cash upgrades to offset it. Making a successful game is hard, but at the scale of the market, there will always be another kid next month with an unexpected hit on his hands.

Zynga can make it work either by continuing to develop successful games on their own, or by backing down from Instagram silly money on their buyout offers. But they can't make it work by pretending to be the gateway middleman for a distribution network they simply don't own.