OnLive, the popular streaming gaming company, has been sold to a "newly-formed" enterprise amid controversy and accusations of mismanagement. Although there is clear evidence of mass layoffs, company spokespeople have said that nearly half of employees will be re-hired by the mysterious new venture, which will be called OnLive as well. Although the meaning behind the changes is unclear, OnLive says that service will continue. Below is the full story, from the earliest rumors of the reshuffle, to the latest, breaking news on the upheaval.
Outgoing OnLive CEO Steve Perlman has published an open letter calling on disgruntled fans to "give the OnLive team a change to regroup."
Former staffers told The Verge that though Steve Perlman was the technical genius behind OnLive, his ego was the company's undoing.
Steve Perlman has departed OnLive, and investor Gary Lauder has become chairman of the board.
Microsoft is hosting a mixer for former OnLive employees at its campus in Mountain View, California, aiming to attract talent to work on future Xbox and Kinect projects.
OnLive's CEO Steve Perlman will retain his position despite the company's recent troubles.
OnLive's mysterious assignee was Insolvency Services Group, whose CEO estimates that the company owed between $30 million and $40 million at the time the original company shut down.
British Telecom says it will likely have to write off its 2.6 percent investment in cloud gaming company OnLive, which dissolved and reformed after teetering on the verge of bankruptcy.
HTC has booked a $40 million loss from its investment in OnLive.
OnLive has just issued a statement, confirming the sale of its assets, and promising that its services will "continue without interruption."
Multiple sources have confirmed that OnLive will be filing an Assignment for the Benefit of Creditors (ABC), an alternative to bankruptcy, and Polygon understands that the company will soon issue a statement to better explain what's going on.
Joystiq has more details about the situation that lead to OnLive's mass layoffs.
OnLive issues official word over recent layoffs and rumors.
Cloud-based gaming company OnLive reportedly lays off half of staff in lead up to sale.
"We don't respond to rumors and have no comment"OnLive