Report: HTC invests $40 million in OnLive
The smartphone maker takes a stake in on-demand gaming service OnLive, according to The Wall Street Journal. It also makes "strategic investment" in multimedia provider Saffron Digital.
HTC is looking to expand its ability to offer smartphone users multimedia content.
The reporting. Citing an HTC spokeswoman, the newspaper said that HTC's investment in OnLive will be used to help it deliver more games to players on smartphones. All told, HTC will purchase 5.3 million OnLive shares for $7.50 per share, according to the report.has invested $40 million in cloud-gaming service OnLive, The Wall Street Journal is
OnLive currently delivers video games to PCs and Macs over the Web., which connects to a user's television and lets them play titles through the service. OnLive offers the ability to rent or purchase games, or for unlimited access to its library of titles.
HTC and OnLive aren't really an odd couple.
Last month, tablets. The company also offers the OnLive Viewer in the App Store for Apple iPad users to see how its service works, but not actually play games. The company said at the time that the app will offer "full game play capability" at some point in the future.to integrate its service into Vizio's upcoming HDTVs, Blu-ray players, smartphones, and
HTC's decision to capitalize on OnLive's mobile focus might be a good idea. Mobile gaming is growing considerably.
In a study last year, market research firm Gartner revealed that the mobile gaming space is set for huge revenue explosion in the next few years. The firm estimated that total mobile gaming revenue around the world, and climb to $11.4 billion in 2014. Gartner estimated at the time that a hefty 70 percent to 80 percent of all applications downloaded to mobile platforms were games.
Gaming isn't the only thing on HTC's agenda this week. The company announced yesterday that it had made a "strategic investment" in London-based digital-multimedia provider Saffron Digital, which offers video on demand and other mobile-facing multimedia services to vendors. It partners with Samsung in the U.S., HTC said.
HTC did not release the terms of its deal with Saffron Digital, but The Wall Street Journal is reporting that it was valued at $48.6 million.