Thursday, February 10, 2011

Smartphone maker HTC invests in OnLive

Taiwanese Smartphone manufacturer HTC will buy a significant share in the gaming streaming service OnLive. They will "spend $40 million on 5.33 million preferred shares in the OnLive Inc, HTC said. HTC did not specify how big its share in the company would be after the acquisition." HTC also invested in mobile video service provider Saffron Digital.

HTC is best known for building the first touchscreen-based PDA phones with the MDA series and have built the Experia for Sony Ericsson, the original Google phone, as well as its successor Nexus One. They are also expected to announce more tablets at next week's Mobile World Congress in Barcelona, Spain, following the Shift, a tablet / UMPC hybrid, which preceded the iPad. While HTC almost exclusively built Windows Mobile handsets in the past, they now have their emphasis on Android devices.

So why is the company branching out like this? I would like to suggest that HTC has clear ambitions to establish Android as the main platform for meaningful, i.e. deep gaming in the smartphone market and it wants to build the handsets to go along with it. The Financial Times author Robin Kwong believes that HTC is poised to become a major content provider in the mobile arena.

HTC has already started hiring staff to work towards the possible launch of an online store, and it is now busy striking up partnerships with content distributors. These deals make sure that when the store comes online, HTC will have content to sell that is distinct from rival Android phonemakers such as Samsung or Motorola.
OnLive, for example, had just said at CES that it was expanding to mobile devices as well as home TVs and PCs. It’s not hard to see them now integrating their service into HTC’s smartphones. (...) OnLive already has an application on the iPad – though that doesn’t support actual gameplay. Its CES announcement also said it was integrating its gameplay service into Vizio’s tablets and smartphones. In Saffron’s case, even though HTC is acquiring the entire company, Saffron will remain an independent agency free to also offer its services to others, such as its current customers Nokia and Sony Ericsson.
In theory, this means that Samsung and others could also turn to OnLive and Saffron to replicate what HTC has done. But in reality, it seems more likely that HTC will remain much closer to these companies because of its share ownership.

After Sony announced PlayStation Suite, which will bring older PlayStation games to Android phones, the platform is set to dominate mobile gaming in the smartphone space. Perhaps, HTC will also be building the Xperia Play, the PlayStation phone, which will also be officially unveiled in Barcelona. Certainly, HTC aims to be the leading manufacturer of mobile gaming phone hybrids.


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Anonymous said...

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Anonymous said...

lets talk about the new Zelda when do you expect it to be released?

And for which system lol ?? Does it even make sense to release it for Wii 1?

Some Guy said...

Well, I thought the article was quite interesting. The mobile gaming market has grown exponentially in the past few years. To act as if what HTC and Sony do in this market will not affect the gaming market as a whole would just be foolish. In my opinion what HTC (OnLive) and Sony (Playstation Suite) are doing is bigger then the NGP and 3DS in the long term.

RGB said...

Go troll IGN, NEOGAF or some other gay type of forums then if its boring?

Fal is mature and writes investigative journalism....not some nerd at IGN or something like that trying to write for kids or the mass.

This article was good and I had even missed this part about HTC. Now that there is a definitive market for gaming across mobile devices other companies are going to try and take a slice of Nintendo's pie and this article only shows how much more serious companies are becoming....especially since seeing the dollar value they can earn.

Unknown said...

Great article(s) Keep it up!

(don´t like the ps3 controller behind the text, but as u describe the design to be beta I guess it´s just temporary)

jerry said...

Great article. This is extremely interesting and is definitely something to watch in the coming months.

Articles like these are the reason I keep coming to this site.

Keep it up!!

LTC said...

I'd rather read about what Nintendos up to innovationwise with Wii2 since I have a hard time imagining what they would come up with after motion controlls?? and it doesn't seem like they have much time at their disposal being that the wii is so unbelievably outdated to the point where it's almost blasphemic.

In fact, The Wii hardware is so out of date in 2011 that it should be put under prservation order lol. It says something when mobile devices start having better graphics than your home console.

Nintendo needs to get with the times seriously.

-Long Time Contributor

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