OnLive is on It’s Last Leg

Unfortunately, OnLive may be coming to an end as employees were laid off and the company is now in the hands of an unnamed investor. OnLive seemed to be the next big thing, but perhaps it was ahead of its time. Many could also argue that cloud gaming is unnecessary in today’s world where those with a capable gaming rig would rather opt to play a game on their hardware instead of streaming it from a server. Still, cloud gaming is a sound idea for tablets and most laptop users.

Whatever the cause was, it is now clear that due to low subscriber count (users who actually paid for their services), the company is now bankrupt. However, instead of liquidating the company, the company and its assets have been handed over to a third party. This third party entity will continue to provide OnLive’s services to its users, but note that this is not under the same direction and control as the previous owners. This type of transfer is known as “Assignment for the Benefit of Creditors,” or an “ABC.”

Going forward, what will become of OnLive? Well, there is still hope. The third party entity that now has control over the company may bring back many of the employees that were laid off. This may mean that OnLive could still make a come back. But, for now, the service will still be operational and users can still hop on and play their games.

Sources:
Kotaku.com, Joystiq.com