Social Gaming Site hi5 Nets $14 Million in Second Round Of Venture Financing

Today hi5, a leading social gaming site, announced that it has closed a second round of venture capital financing with a total of $14 million. The lead investor for this round was Crosslink Capital with a Crosslink General Partner, Jim Feuille, joining hi5’s Board of Directors.

“hi5 is among the companies leading and defining the rapidly emerging social entertainment category, and this round will enable us to fully capitalize on what is already a massive market opportunity,” said hi5 CEO Bill Gossman. “Crosslink has been at the forefront of this revolution with investments in Pandora and Like.com as well as successful public market experience with Omniture and Ancestry.com, so we are thrilled to have Jim’s expertise joining the company.”

The initial round in July 2007 resulted in a gain of $20 million. Both rounds were led by Mohr Davidow and the funding will be used to expand hi5 operations, including the hi5 virtual currency and gift store, the hi5 Games channel, and the hi5 Stars animated avatars.

“The social entertainment category is experiencing explosive growth, and hi5 has the global audience, strategic vision and seasoned management team to be a significant long-term leader in this market,” said Feuille. “hi5’s unique combination of social game mechanics, ownership of a social graph and a third-party game platform positions the company well for success.”