OnLive Turmoil – Bankruptcy, Sale, Lawsuits
The online video game streaming service, OnLive has had a rocky week. After announcing a restructuring and sale of the company this past Friday, info leaked out from a former employee that OnLive had laid off most of their employees. Now, according to an article on The Verge, it appears that OnLive has filed for ABC bankruptcy (Assignment for the Benefit of Creditors) in order to avoid paying staff of their share of the equity in the sale.
There have been other reports that they would be pursuing lawsuits with competitor services such as Gaikai based on ‘patents’.
As more solid information comes out, we’ll bring further updates to this. As of right now, there is a lot of speculation, but OnLive’s recent actions are starting to turn people off.
Sources:
http://www.joystiq.com/2012/08/17/source-onlive-ceo-showed-no-remorse-when-announcing-layoffs/
http://www.engadget.com/2012/08/17/onlive-confirms/
http://www.theverge.com/2012/8/19/3253029/onlive-bankruptcy-filing
