At its core, Houseparty’s free mobile and desktop apps let people video chat with friends or family, similar to Zoom or Apple Inc’s FaceTime. But Houseparty, which has previously been popular mainly with teens, builds in a slew of other features meant to encourage interaction, including the ability to remotely play games like trivia or"Heads Up”, or to jump into ongoing conversations your friends are already having in the app.
At the time of the acquisition, the two companies talked about a shared vision of enabling more live interaction, an increasingly prevalent goal in the gaming industry. Connecting people is Houseparty’s ultimate mission, and Sistani likes to talk about creating"empathy” online, and fixing what she considers to be a rising"loneliness epidemic”.
Sistani’s disdain for social media carries over to Houseparty’s business, too, and helps explain why the company has sworn off ads as a potential revenue source. Instead it’s looking at offering in-app purchases, though that business is still nascent. Sistani says making money is far lower on her priority list than simply keeping the app functional."It’s not about capitalising on this moment.
So the company did what many Silicon Valley tech companies must do at some point: it pivoted, changing focus from a one-to-many broadcast platform to a video-chat service for close friends. The mission was,"let’s be the most human way to connect when you’re not physically together”, Sistani, who was chief operating officer at the time of the change, recalled.
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