Aug 18th, 2012

Onlive’s future suddenly became uncertain as yesterday’s rumors started spreading. We didn’t know if the company was simply shutting down or being acquired; lay offs and a possible bankruptcy filing were a probability, as well. OnLive declined to comment most of the day, but the day concluded with an official statement.

You can discard all possibilities of OnLive shutting down completely (at least any time soon). Instead, the company will be acquired by a “newly-formed company” that is “backed by substantial funding.”

We can now confirm that the assets of OnLive, Inc. have been acquired into a newly-formed company and is backed by substantial funding, and which will continue to operate the OnLive Game and Desktop services, as well as support all of OnLive’s apps and devices, as well as game, productivity and enterprise partnerships. The new company is hiring a large percentage of OnLive, Inc.’s staff across all departments and plans to continue to hire substantially more people, including additional OnLive employees. All previously announced products and services, including those in the works, will continue and there is no expected interruption of any OnLive services.

We apologize that we were unable to comment on this transaction until it completed, and were limited to reporting on news related to OnLive’s businesses. Now that the transaction is complete, we are able to make this statement.

While the e-mail clears up many rumors, it also creates a series of new questions. We have no idea what company this is or any details of its “substantial funding,” but at least we know much of the OnLive team will be sticking around. And don’t worry guys, OnLive is not going anywhere and your cloud-gaming won’t be interrupted.

[Via: The Verge]