HQ Trivia is dead. Today, the company laid off its entire staff of 25 people and will stop operating its riddles, sports and riddles games, a source close to the company confirmed.
HQ Trivia had an agreement in the process of acquisition, but the buyer withdrew yesterday and investors are no longer willing to finance it, CEO and co-founder Rus Yusupov he said in a statement reached by CNN Business & # 39; Kerry Flynn.
"We received an offer from a business established to acquire HQ and continue to build our vision, we had final agreements and legal documents, and a planned closing date for tomorrow, and for reasons we are still investigating, they suddenly changed their position and, despite from our best efforts, we could not reach an agreement, "Yusupov writes." Unfortunately, our main investors are no longer willing to finance the company, and so effective today, HQ will cease operations and move to dissolution. " employees and contractors will be fired from today. "
Released in October 2017, Newsdio wrote the first 12-question live videogame coverage initiated by two of Vine's former founders. Users can earn real money by answering all questions and not being eliminated in multiple daily games. HQ Trivia had raised more than $ 15 million, including a Series A directed by the Founders Fund. At one time it had more than 2.3 million concurrent players.
But finally the novelty began to disappear. The cheats entered, dividing the prize money into just a few dollars or cents per winner. The imitators emerged internationally. Engineering problems led users to be expelled from the game.
Then tragedy struck. Co-founder Colin Kroll passed away. That exacerbated internal problems in HQ Trivia. Product development was slow, which led users to get tired of the game. New types of games and viral features materialized too late.
A failed internal riot saw employees prepare to ask the board to remove Yusupov from the position of CEO. When he learned of the plot, the organizers of the revolt were fired. The moral sank. By July 2019, the downloads were only 8% of those of his previous year, and 20% of the staff was fired.
The disappearance of HQ Trivia demonstrates the volatile nature of the game and the starting scene as a whole. Momentary traction is no guarantee of future success. Products must continually evolve and adapt to their audience to remain relevant. And executives must move on while clearly communicating with their teams, even among uncertainty, or find their companies withered by the rapid passage of time.