Video game developer Epic Games has purchased US-based social video platform operator Houseparty for an undisclosed amount, allowing several corporates to exit.
Founded in 2016, Houseparty provides mobile and online apps that enable several users to conduct group video chats with each other. Its apps are able to run on iPhones, Android devices, Chrome browsers and Mac products.
Tim Sweeney, founder and chief executive of Epic Games, said: “Houseparty brings people together, creating positive social interactions in real time. By teaming up, we can build even more fun, shared experiences than what could be achieved alone.”
Sequoia Capital led a $52m funding round for Life On Air, the Israel-based operator of Houseparty, in 2016, investing alongside Comcast Ventures, a corporate venturing unit owned by mass media group Comcast, as well as Aleph VC and Greylock Partners.
Comcast Ventures had been joined by Broadway Video Ventures, a subsidiary of entertainment producer Broadway Video, in addition to record company Universal Music Group and talent agencies William Morris Endeavor, UTA and CAA for the company’s $14m series B round the previous year, when it was known as Meerkat.
CAA contributed to the series B round through its CAA Ventures unit, with Greylock, Aleph, Sound Ventures, Vayner/RSE, Raine Ventures, Slow Ventures, Sherpa Ventures and angel investors David Tisch, Chad Hurley and Jared Leto also participating.
Aleph had previously led a $3.7m series A round for Live on Air, then known as Yevvo, in 2015, investing together with Entrée Capital, following a $500,000 angel round.