Hi5, once a top social networking site just behind MySpace in 2007, was sold to Tagged in 2011 and later acquired by MeetMe for $60 million.
Over the past 15 years, social networks have grown rapidly. Platforms like Facebook have become major players, while older sites like Hi5 and MySpace have faded. The era of customizing profiles with backgrounds, GIFs, and more has given way to new social media experiences that are now integral to daily life.
In this article, we explore the rise and decline of Hi5. After its sale to Tagged and later acquisition by MeetMe, Hi5 struggled to keep up with evolving social media trends, leading to its fall from prominence.
What is Hi5?
Hi5 is a social networking website where users can create profiles and connect with others. Founded in 2003 by Ramu Yalamanchi and Akash Garg, Hi5 was headquartered in San Francisco, California.
At a time when social media was emerging, Hi5 quickly gained traction, building on the early success of platforms like Friendster, which pioneered the industry in 2002 but failed to sustain its momentum.
On Hi5, users set up accounts by entering their email and password or linking their Facebook or Google accounts. They could personalise their profiles with details such as gender, birthday, education, interests, and a profile picture. Interaction was facilitated through likes, comments, and posts, and users could also share content and follow or add others as friends.
Hi5 also featured a dating component, allowing users to send flirtatious messages and virtual gifts. Over time, Hi5 shifted focus to social gaming, offering popular games like RockYou Pets and TopFriends, and allowing users to buy digital tokens for in-game purchases.
Despite its early popularity and multiple funding rounds, Hi5 struggled to maintain its prominence and eventually pivoted away from social networking. This article will delve into Hi5's history, its evolution, and its current status.
What Happened to HI5?
Launched in 2003 by Ramu Yalamanchi, Hi5 rapidly rose to prominence as a leading social networking site. By 2007, it boasted over 70 million registered users and was ranked among the top 40 most visited websites globally, with a strong presence in Latin America.
Hi5 offered features like customizable profiles and social connections, appealing to a broad audience seeking online interaction. However, despite its early success, Hi5 struggled to maintain its position in the face of evolving social media trends.
By 2010, the platform underwent a major transformation, shifting from social networking to focus on social gaming. Although it initially attracted substantial traffic, with nearly 3 billion visits per month, Hi5's user base dwindled to just 46 million. The primary reason for Hi5's decline was its inability to compete with newer, more dynamic platforms like Facebook, which secured significant funding and top-tier engineering talent, leading to Hi5's fall from prominence.
Is Hi5 Still Active?
Yes, Hi5 is still active today, but it has undergone significant changes. Originally launched in 2003 as a prominent social networking site, Hi5 quickly became a major player, particularly in Latin America, Europe, and Asia. At its peak, it boasted over 50 million users and was ranked among the world's top ten websites.
However, as social media evolved, Hi5 faced intense competition from platforms like Facebook and MySpace. Despite an initial surge in popularity, Hi5 struggled to keep pace with these emerging giants. The financial crisis of 2008 exacerbated these challenges, leading Hi5 to pivot from a traditional social networking site to focus on virtual goods and social gaming.
In 2010, Hi5 made a major shift, incorporating social gaming features and virtual currency to enhance user engagement. The introduction of games and a developer platform aimed to attract users and capitalize on trends popularized by Facebook. Nevertheless, as users flocked to newer platforms like Instagram, Hi5's growth stagnated.
In December 2010, Hi5 was acquired by Tagged, which later rebranded as If(we) and was subsequently sold to MeetMe in 2017. Despite these ownership changes, Hi5 continues to operate, now primarily focusing on dating features and social gaming experiences.
Why did Hi5 fail?
Hi5 ultimately failed because it couldn’t compete with better-funded rivals like Facebook. By the time Facebook went public in May 2012, it had raised nearly $2 billion in funding, allowing it to invest heavily in its platform and effectively navigate economic downturns. This financial advantage enabled Facebook to experiment with features, such as the News Feed, which became a significant driver of its growth.
In contrast, Hi5 lagged in feature innovation and struggled to keep up with industry trends. While Facebook was capitalizing on social gaming and generating substantial revenue from game developers, Hi5 only pivoted towards social gaming after Facebook had already established a dominant presence in the sector.
Additionally, as Facebook’s network effects took hold, it became nearly impossible for other platforms to compete. With most users’ friends and family on Facebook, the platform became the default social network, leading to a decline in activity on Hi5 and other competitors like Bebo and MySpace.
Ultimately, Hi5’s inability to match Facebook’s rapid innovation and user growth contributed to its downfall.
