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Nvidia Grid server pumps power into cloud gaming, six partners already lined up
Nvidia unveiled "Grid" at this year's CES, a powerful server built for cloud computing across PCs, smartphones, tablets, and smart TVs. As Engadget reports, Grid is catching the attention of cloud gaming companies, with Agawi, Cyber Cloud, G-cluster, Playcast, and Ubitus already signed up to use the technology.According to Nvidia, a single Grid server can enable up to 24 HD quality game streams. At CES Nvidia showcased the Grid gaming system, which incorporates 20 Grid servers into a single rack. Nvidia says the rack is capable of producing 36 times the amount of HD-quality game streams as 'first-generation cloud gaming systems.'As our friends at Engadget note, that gaming rack of 20 Grid servers pumps out around 200 teraflops worth of operations, which equates to what around 700 Xbox 360s can do. That's a whole lot of Master Chiefs running themselves to death on hamster wheels.
Gaikai sued over alleged patent infringement
A Delaware company called T5 Labs has filed suit against cloud-gaming service Gaikai for alleged patent infringement, putting the technology that underpins Gaikai's fancy cloud-computing/game-streaming wizardry under the legal microscope.Specifically, T5 Labs claims that by "providing a system and methods of sharing a graphics processing unit (GPU) between a plurality of programs," Gaikai is "actively, knowingly and intentionally" using the technology covered by T5's patent for "Sharing a graphical processing unit between a plurality of programs."Multiple programs using the same GPU may sound like something that every single computer does on a regular basis, but T5's patent actually covers a specific scenario involving servers, remote terminals and compression algorithms. No specific dollar amount is listed in the complaint, but T5 is seeking damages, attorney's fees and "a judgement permanently enjoining Gaikai from further infringement."Gaikai has "no comment at this time" regarding the situation.
OnLive was reportedly sold for roughly $5 million to venture capital firm
Even though weeks have passed since that well-documented OnLive kerfuffle took place, where unfortunate layoffs and the formation of a "new company" were at the forefront of it all, previously unknown details are still coming out of the woodwork. According to Mercury News, the once-promising cloud gaming outfit was purchased by a venture capital group for a mere $4.8 million, which appears to be a relatively small amount of cash for an outfit once valued upwards of $1.8 billion -- not to mention when compared to, say, rival Gaikai's $380 million sale to Sony. Still, this is said to have been due to the bad shape OnLive was in at the time, with the Palo Alto-based company reportedly owing more than $18 million in debt, leaving it with no choice but to take "the best that it could get."
Cable, IPTV providers reportedly testing cloud-based HD gaming for launch next year
The next generation of consoles from Sony and Microsoft haven't even been announced yet but their best competition may be from your cable TV / internet provider, according to a report from Bloomberg. The only-too-eager-to-talk people familiar with the matter named AT&T U-Verse, Verizon FiOS and Time Warner Cable as services preparing tests before the end of the year with general availability planned for 2013. Comcast and Cox were also name dropped as potential candidates to bring console-quality HD games directly to customers, based on tech from startups like Playcast, CiiNOW and Agawi. Of course, while we've seen this sort of setup before (as seen above, check out an awesomely 90s Sega Channel ad after the break) and recently from OnLive and Gaikai, cloud gaming has yet to catch on in a major way. Whether this potential approach is all smoke or will actually turn into reality has yet to be seen, but after TV Everywhere we wouldn't be surprised to see providers toss in gaming as another incentive for subscribers not to cut the cord. [Image credit: Sega Retro]
Agawi cloud game streaming headed to Windows 8, focused on 'mid-core and hardcore' games
Cloud streaming provider Agawi (formerly "iSwifter") is making a second major push with its cloud-based game streaming service alongside Windows 8 this October. Beyond the social content it already brings to the iPad -- "more than 12,000" Facebook games -- Agawi's second run at streaming is more focused on what it calls "mid-core" and "hardcore" games. But what does that mean? Executive chairman Peter Relan says "mid-core" means "web-based MMOs with a PC download," versus PC downloads representing the "hardcore." The example video (below the break) shows Agawi working with a variety of games, though none of the titles in the video confirm potential content partners for the service (Relan teases a fourth quarter reveal of more news). And today, Agawi announced its collaboration with Microsoft Azure, resulting in cloud game streaming across the world of Windows 8 -- tablets, PCs, and even its phones. "Popular AAA games will be made available in the coming months for instant play on Windows 8 devices with no additional work required by developers," the launch PR promises. Input methods for games vary dramatically by platform, and we've already seen what happens when you shove tablet-based touch controls onto a console/PC game (it ain't pretty). "That's a publisher decision," Relan says. "We support the idea of d-pads on the tablet itself. We support pure touch gesture on the tablet. We support point-and-click on the screen -- touch and tap. We support swipe for scrolling. We support a full controller, like an Xbox console controller," he adds.
EA goes 100% online with gaming
From now on, don't expect to see EA coming out with single-player offline titles, because there won't be any. EA Labels President Frank Gibeau said that the company is full-on embracing cloud gaming and online interaction: "I have not green lit one game to be developed as a single player experience. Today, all of our games include online applications and digital services that make them live 24/7/365." Forbes speculates that this approach might be a boon to MMO players, who might witness a movement toward more integrated services. EA isn't looking to turn all of its titles into MMOs, however, but is definitely adding multiplayer components and more social interaction to them going forward. Gibeau claims that this is what the players are demanding. "People want to access games anytime and anywhere, they want to connect with friends, and they want to be recognized across multiple devices," he said. "Cloud gaming is going to make it easier to step over walled gardens."
Yes, Ouya is still supporting OnLive
Yes indeed, the Ouya is still planned to have OnLive support at launch. Ouya announced in late July that OnLive cloud game streaming support would be in the Android-powered, Kickstarter-funded open-source console when it launches early next year. Reps from both companies reconfirmed their commitment to the collaboration this afternoon.If this sounds a bit familiar, it's because OnLive has – in unspecific terms – said as much already. "All previously announced products and services, including those in the works, will continue and there is no expected interruption of any OnLive services," a statement by the company read last Friday. However, we've seen this question pop up repeatedly since last week, so we wanted to state each company's position on the record one last time. Just for you. Yup, you.
HTC to lose its $40 million investment from OnLive's financial restructuring
As cloud-based gaming service OnLive struggles to reform itself and cope with its pricey infrastructure, HTC's $40 million investment made last year will disappear completely, according to a recent filing to the Taiwan Stock exchange. OnLive began streaming its gaming selection to Android smartphones and tablets at the end of the same year but we never saw any exclusive features for HTC hardware. Following some tough financial results, it packed up its Korean office and recently returned half its stake in Beats, although its involvement with OnLive had never resulted in the same degree of publicity.
OnLive officially announces asset acquisition, notes that its newly formed company will keep OnLive name
Amid the rumors, sourced reports and statements, it was easy to lose track of the facts surrounding OnLive's recent restructuring efforts. No surprise then, that the newly formed outfit has issued a press release and FAQ (after the break) in hopes will clear things up. First and foremost, the firm reiterates that the streaming game service will continue operating uninterrupted, and that the "newly formed company" that acquired the firm's assets will continue to do business under the OnLive name. The announcement also mentions the Assignment for the Benefit of Creditors (ABC) process OnLive used to settle its debts, noting that "an affiliate" of Lauder Partners, a technology investment firm, was the new OnLive's first investor. Finally, the firm laments the necessity of laying off its staff, stating that "neither OnLive, Inc. shares nor OnLive staff could transfer under this type of transaction," confirming that nearly half of the previous staff had been offered positions at the new company, and optimistically projecting future hires culled from both previous and new employees. The new OnLive calls the asset acquisition "a heartbreaking transition for everyone involved," but looks optimistically to a future of "transforming the OnLive vision into reality." Check out OnLive's full, official word on the matter below.
Documenting the death of OnLive: notes from the company's final meeting
"I've been a non-stop fundraising machine," OnLive CEO Steve Perlman told his entire staff yesterday morning. "And I finally got to the point where I just could not bring in enough funding to carry this thing forward." The hundreds of employees that make up OnLive were – en masse – relieved of their positions in yesterday's meeting, including Perlman himself. "All of us, technically, as of today, our jobs have ended – our current jobs with this company," another administrator informed the crowd after Perlman finished speaking.OnLive is entering what is known in California as an "Assignment for the Benefit of Creditors," or an "ABC," (a form of bankruptcy) wherein an "assignee" (a person, persons, or entity) takes over the assets of the current company – in OnLive's case, this means "the software, hardware, network architecture, our logo, all that stuff," according to Perlman – in an effort to lighten the previous company's debts and get its creditors paid off. Thus the "Benefit of Creditors" part of that acronym.Perlman didn't say who that assignee was during the company's meeting, only referring to him as "an extraordinary guy" (not an entity), and a "very accomplished and well known venture capitalist" who is "very wealthy." The unknown assignee apparently believes that OnLive "is the entire future of everything," Perlman told employees. Unfortunately, he isn't wealthy enough to bring on the 150-200 people that OnLive employed."Here's the tough part, and this is the thing I'm very sorry to say: it's just not possible for one individual in a startup – whether it's that old startup or this new startup – to bring in this many people into a company," Perlman said. Without giving numbers, Perlman said that, in the new company, "the people that come on board are the essential people, as needed, to go and accomplish that goal of getting this thing to cash-flow positive."He prefaced that news with a stinging reality: "The people that are gonna be coming on board here, that will come out of the group ... I'm gonna tell you, most of the people will not be coming on board."
OnLive hits reset after being dragged down by expensive servers, confirms service will continue
OnLive has finally issued an official statement after rumors of mass layoffs first leaked out earlier today, confirming that its assets have been acquired into a newly-formed company with what it claims is "substantial" financial backing. The big news for users is that the OnLive Game and Desktop services will remain operational and continue to be supported. The release also claims a "large percentage" of OnLive staff is being hired into the new company with plans to hire more over time, while PR informs us the leadership team remains intact. Check the words straight from the source after the break. We've heard from some of the people present for the meeting where the new plan was revealed today, confirming the company is going through a process known as Assignment for the Benefit of Creditors (ABC). A faster alternative to bankruptcy that doesn't involve the courts, it allows OnLive to deal with some of the issues it was facing, most notably an oversupply of servers for the number of users it had signed up. The ABC process allows OnLive to be unshackled from the expensive server contracts and bring in a new source of venture capital. Oh and that other major cost, the employees? Not all of the information is known yet, but beyond the loss of jobs, it turns out the stock they owned was in a company that no longer exists. We're hearing their benefits will end after August, however there are offers of contracts to answer questions about important topics like "where things are," in exchange for special form stock in the new venture. Update: Joystiq has more information from a former employee, who estimated the average number of peak concurrent OnLive users at around 1,800 or so, and the amount of retained staff in the range of 20 percent. One other tidbit? The source expects OnLive to go after recent Sony acquisition Gaikai for infringement of a game streaming patent, so stay tuned.
Source: OnLive undergoing buyout in wake of dire financials, laying off 'at least 50 percent' of staff
After a lot of back and forth from the rumor mill and official OnLive channels, we now have what we believe to be a far clearer view of precisely what is happening right now at OnLive headquarters in Palo Alto. We've spoken with a (now former) employee of the gaming service who ran down today's events for us. According to the account, a meeting was held at OnLive's offices at 10AM this morning, wherein the company's CEO announced a massive staff layoff -- at least 50 percent of the staff, according to our source's numbers. The layoffs come as part of across the board cuts to the company, and all those out of a job will have their key cards deactivated as of 4PM local time today. The source was understandably baffled by the abruptness of the news, along with the added blow that no severance will be offered and stock holdings are essentially worth nothing. The move apparently comes as OnLive is being purchased by an unknown party. Those being kept on have reportedly received offer letters from the new company. Why the sudden move? The source believes it may have something to do with the company's massive operating costs, which we're told are around $5 million a month. Certainly those concerns line up with a story dug up by Kotaku highlighting the company's plans to file for Assignment for the Benefit of Creditors as a result of the company's troubled financial situation. We're still gathering information as to the nature of the buyout. Update: According to our source, the writing wasn't on the wall at the company per se, but OnLive had reportedly been entertaining acquisition offers ahead of the news from companies including HP. Update 2: Our source has offered up some additional information on the matter, putting the average concurrent user number for the service at 1,100 to 1,500, peaking at around 1,800 on a given day -- not exceptional by any means in the face of reported $5 million a month operating costs. The number of layoffs, meanwhile, may well be greater than originally suggested, with our source putting the number of employees staying on board at around 10 to 20 percent.
Big Fish Unlimited lets gamers resume play on mobile, PC and TV, stay distracted at all times (update: HTML5 explained)
The perpetual crisis of casual gaming is that need for just one... more... turn. After all, those 29 levels of progress aren't coming with you to the office, are they? Big Fish Games wants to ease our consciences (or at least our egos) with Big Fish Unlimited. By using HTML5 to constantly save progress, the cloud service remembers exactly where a player was and ports it to the next device: it's possible to hop from a Android tablet, to a Roku box, to a Windows PC's browser without having to replay anything. The nature of the streaming games themselves won't give OnLive players second thoughts, but their lighter footprint won't demand as much from an internet connection, either. Most of the intended audience will appreciate the price -- the now active service costs $8 a month for access to more than 100 games from the full catalog, and free play is on tap for 20 of the games as long as you can endure periodic ads. Whether or not coworkers can endure another round of your hidden object games is another matter. Update: We've since talked to the company directly, and it turns out that the HTML5 is more for the cross-platform support; it's the server that tracks progress whenever you quit a given app.
OnLive says support for Universal Controller on Nexus 7 is coming 'shortly'
Those of you who are proud owners of one of Big G's Nexus 7 -- and are frequent users of OnLive's Android offering -- may have noticed the lack of support for the gaming outfit's Universal Controller on the Jelly Bean slate at launch. Fret not, though, as that might be changing soon. Speaking to GottaBeMobile, the cloud company said that while there's no Nexus 7 compatibility at the moment, it does "hope to have it shortly." OnLive wasn't quite clear about what "shortly" really means, but according to the aforementioned site, the Universal Controller's had a tendency to work with some titles before "the official support was announced" -- so a few of you could get lucky ahead of time. Either way, we'll let you know as soon as OnLive intros a more formal solution.
Gaikai hits Samsung 7000 series TVs in beta, despite Sony acquisition
Streaming games service Gaikai and Samsung are still in business, regardless of Sony's recent purchase of Gaikai to establish a "new cloud service." Gaikai's cloud gaming beta is live today with a firmware update on 2012 Samsung LED 7000 series and higher SmartTV systems.Early investors in these high-end internet TVs can download the Gaikai early access program now, cracking the cloud-gaming floodgate on a few Gaikai games. Some "selected participants" will be eligible to receive a free Logitech gamepad as well.Sony purchased Gaikai for $380 million on July 2 to "establish a new cloud service" for as-yet-unannounced platforms and purposes. It was previously unclear how this acquisition would affect Gaikai's hardware-integration efforts, but it appears all systems are go, at least for Samsung.
Gaikai's cloud gaming beta arrives on cue to high-end Samsung Smart TVs
Gaikai announced with a flourish that it was partnering with LG and Samsung for Smart TV cloud gaming, so its acquisition by Sony made us wonder if those arrangements would still hold. Well, it looks like all's well with the arch-foes, at least on that front. The service has landed in a closed beta, provided you're the lucky owner of a 2012 Samsung LED 7000 series or higher Smart TV with the latest firmware update. Should you decide to download the software, you'll be offered the chance to check out the company's early access program, which will not only let you sample the cloud gaming wares, but also get you a Logitech Gamepad to boot -- provided you're a "selected participant." That'll let you kick back and test out some Gaikai games for yourself, so if you're among the select few with the right TV, check the source to see how the install works.
OnLive support dropped from Sony media player post-Gaikai purchase [Update: support not dropped, says OnLive]
Remember the Sony streaming media player that reportedly packed OnLive support? After yesterday's announcement of the acquisition of Gaikai – that other video game streaming service – OnLive support for the player is unsurprisingly kaput, Sony confirmed to VentureBeat.Presumably, Gaikai support could be added to the device in the future, but for now it's clear that Sony's game streaming intentions (understandably) no longer include OnLive.Update: An OnLive spokesperson has told Joystiq that VentureBeat's information is inaccurate. Specifically, OnLive was never going to be preloaded into Sony's device in the first place. Users will, however, still be able to download OnLive to the device. Furthermore, the OnLive spokesperson stated that the OnLive controller is still compatible with the device as well.We've contacted Sony directly to see if we can clear all this up.
Sony's House: Gaikai expansion to other Sony platforms 'absolutely' possible
Assuming it successfully clears all of the regulatory hurdles that govern these types of deals, Sony's $380 million acquisition of Gaikai (and the mysterious cloud gaming service borne from said purchase) may eventually benefit the electronics megalith's non-dedicated-yet-gaming-capable devices like cell phones, internet-connected televisions and Blu-Ray players, waffle irons, etc.Migrating Gaikai's capabilities to those devices is "absolutely within the frame," according to Sony Computer Entertainment president/CEO Andrew House, speaking with the Wall Street Journal. "It's recognition on Sony's part that the cloud and cloud streaming technologies are going to have profound and possibly a very positive impact on not only our game business, but also in the way our consumers interact with and obtain content in general."Of course, the world still has no idea what this partnership actually means in practical terms, but its nice to know that we may soon have a Blu-Ray player capable of playing modern video games. Oh wait.
Sony buys Gaikai cloud gaming service for $380 million
Cloud-based gaming service Gaikai has had plenty of spring in its step recently, and now we know why: it's been tying up a deal to sell itself for a rather substantial sum of cash. The $380 million agreement is slightly below the $500 million bandied about it in some rumors last week, so perhaps SCE execs feel like they've got themselves a bargain. SCE boss Andrew House promised that the union of Gaikai's "engineering talent" with his company's "game platform knowledge" would lead to "unparalleled cloud entertainment experiences." For his part, Gaikai CEO David Perry said he was "honored" to help Sony "grow their ecosystem." None of this sheds much light on precisely what the Japanese giant will do with its new acquisition, or how it'll deal with the potential (imaginary?) awkwardness of supplying a service direct to TV rivals like Samsung and LG. In any case, the two companies need to secure regulatory approval before getting down to the tricky stuff.
Rumor: Gaikai seeking to sell itself for $500 million
David Perry's cloud-based gaming middleware company Gaikai could soon be courting buyers, according to a report at Fortune. The company has supposedly hired bankers in order to prepare for the transaction and purportedly anticipates that its market value will ring up somewhere around $500 million or higher, according to Fortune's sources.Unlike OnLive, Gaikai provides no consumer-facing gaming service itself, but instead provides the technology required for other companies like Samsung, LG and Facebook. Gaikai's official stance on the situation is that it does not comment on rumors; a statement likely prepared by a super-cluster of servers before it was streamed to our inboxes.
