Intel Capital Invests $4 Million in Xfire Gaming Network

Xfire claims to have more than 20 million subscribers and describes itself as a mix "between Facebook and Skype" for gamers. The service enables people to chat with each other from within more than 2300 video games. Xfire said that it will use the funding to revamp its website and chat application.

"We're witnessing watersheds in gaming, including the rise of free-to-play online titles," said president Mark Donovan in a prepared statement. "Xfire is expanding with this trend by helping publishers and players connect with one-another through the Xfire social platform."

The company previously received funding from angel investors, including Tomorrow Ventures, Clearstone Venture Partners principals William Quigley and Jim Armstrong, PriceGrabber co-founder Kamran Pourzanjani, and founder Michael Robertson.

Intel did not comment on this investment. However, the company typically invests in companies that are already off the ground and provide products and services that promote chip sales. An investment in a growing website that is targeting video gamers is conclusive for Intel.

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  • Lutfij
    oh crap, first facebook now a facebook for gaming?...? :ouch:
  • Actually Xfire was launched in 2002 and Facebook was launched in 2004 if I'm not mistaken. So, you could say Xfire came first. I certainly enjoy using it. It is very useful especially for recording (screenshot/video) memories with your gaming friends.
  • I use Xfire, and I think it's great. I can see what games my friends are playing (while in a game or out) and start chat/voice. No fumbling with alt tabbing, and it works with almost every game I own that's less than 10 years old. I couldn't care less about the whole 'social' part of it on their website, but whatever.