It seemed like the failure of OnLive came out of nowhere when we first heard of it a few days ago. Everyone was excited about OnLive being supported on the Ouya console that did so well on Kickstarter and then rumors started late last week that OnLive was in serious trouble. Shortly after those rumors started we learned that OnLive was in dire financial straits.
A large portion of OnLive's workforce was laid off, and the company began restructuring that led to smartphone maker HTC losing its $40 million investment. When things go so badly for a company, I expect to see the CEO and other executives move on, and new blood come in. That assumes the company is still viable at all. Therefore, it is somewhat surprising to me to hear that OnLive is keeping their CEO Steve Perlman.
An official statement was issued by OnLive this week giving more details on what's going on at the company and what fans can expect moving forward. OnLive said in the statement that it has a new investor and assured subscribers that all their purchases, achievements, videos, and other content were still there and would not be interrupted. The company says it plans to continue operating its service 24/7 just as it has since launch.
OnLive announced that Perlman will continue as CEO and was concentrating on the major transition. Once the company transition is complete, OnLive said that Pearlman would focus on the company's next product releases and promised more major announcements large and small. Those announcements include the Vizio CoStar and the Ouya console. Other major announcements are promised to be coming soon.