OnLive Purchased by New Company, Lays Off Most of Its Staff

Popular cloud streaming service OnLive might not exist in the near future, as a series of surprising developments have been heard from sources deep within the company, claiming that it was just bought by another corporation and that, in order to make itself more valuable, OnLive decided to lay off most of its staff.

Cloud gaming seems to be the future, at least according to Sony, which recently acquired Gaikai, one of the leaders in the field.

OnLive, however, remained independent and, given its quite solid digital distribution service that allowed customers to pay for games and have them streamed to wherever they were located, it seemed to be doing alright.

Now, however, it seems that OnLive’s situation wasn’t the greatest, as the company is reportedly getting ready to be acquired by another corporation and is laying off its staff.

The news first broke a few hours ago, when an email was sent to OnLive partners citing that the company would no longer exist before the end of the day.

Shortly afterwards, sources started claiming that most of the staff has been laid off and that the CEO was trying to file for a form of bankruptcy.

Now, the latest report arrives from Engadget, which claims that a mysterious corporation is in talks to take over OnLive.

Sadly, it’s only interested in the cloud company’s assets, meaning technology and patents, and not in its staff, so the still-in-charge CEO decided to officially lay off around half of the employees.

As of yet, things are still unclear and OnLive’s PR representatives are still dismissing these new reports as speculation.

It’s also unclear if the current OnLive service will remain operational and whether or not customers who bought games from the company will receive any kind of compensation.

Expect to hear more soon enough.

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