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I'm currently building a game company so I sympathize with these guys, but it sounds like most of this is self inflicted.

1. Development cycle is way too long. You have to move much faster in mobile, especially for a casual game.

2. Assume financial failure for each game. Doesn't sound very encouraging but you should never count on income from a new title, especially if you're trying out new ways of monetizing.

3. Keep a cushion. If you need to take some time off to contract then do it. Running out of cash isn't an option.

4. Don't leave customer acquisition to chance. It sounds like their customer acquisition strategy was based solely on app store visibility (and hope).

At least they'll learn from this venture. Maybe avoid the mistakes made on their next such adventure.

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