Sony buys Gaikai cloud gaming service

[garyopa]

For $380 million



Prepare for cloud gaming in the next Playstation

It finally happen, Sony has announced officially that they have bought Gaikai, the well-known cloud gaming service. This could mean that Sony will implement the service in future products (or even in actual ones). One thing is almost assured, the next Playstation will feature some cloud gaming.

Here is the complete press release:

Sony Computer Entertainment to Acquire Gaikai Inc., a Leading Interactive Cloud Gaming Company

SCE to Build a Cloud Service Bringing Gaikai's Cloud Based-Streaming Technologies into Its Network Business

TOKYO, July 2, 2012 /PRNewswire via COMTEX/ -- Sony Computer Entertainment (SCE) today announced that it entered into a definitive agreement on June 30, 2012 (Japan Time) to acquire Gaikai Inc., the world's leading interactive cloud-based gaming company, for approximately USD 380 million. Through the acquisition, SCE will establish a new cloud service, ensuring that it continues to provide users with truly innovative and immersive interactive entertainment experiences.

"By combining Gaikai's resources including its technological strength and engineering talent with SCE's extensive game platform knowledge and experience, SCE will provide users with unparalleled cloud entertainment experiences," said Andrew House, President and Group CEO of Sony Computer Entertainment Inc. "SCE will deliver a world-class cloud-streaming service that allows users to instantly enjoy a broad array of content ranging from immersive core games with rich graphics to casual content anytime, anywhere on a variety of internet-connected devices."

"SCE has built an incredible brand with PlayStation and has earned the respect of countless millions of gamers worldwide," said David Perry, CEO of Gaikai Inc. "We're honored to be able to help SCE rapidly harness the power of the interactive cloud and to continue to grow their ecosystem, to empower developers with new capabilities, to dramatically improve the reach of exciting content and to bring breathtaking new experiences to users worldwide."

Established in 2008 and headquartered in Aliso Viejo, California, Gaikai has developed the highest quality, fastest interactive cloud-streaming platform in the world that enables the streaming of quality games to a wide variety of devices via the internet. With this acquisition, SCE will establish a cloud service and expand its network business by taking full advantage of Gaikai's revolutionary technology and infrastructure including data centers servicing dozens of countries and key partners around the world.

The transaction is subject to certain regulatory approvals and customary closing conditions.

SCE will continue to aggressively expand a new world of entertainment through the introduction of innovative technologies and the delivery of amazing experiences.

Our thanks to 'Kaos2K' for this news item!

[JonathanD]

This is a horrid investment for a number of reasons, but I do have to hand it to the former owners of Gaikai you sold a turkey for 380 million dollars!

At least Sony will learn an important lesson about consistency of the customer experience...

A user might get great service and if your lucky they may even tell another person and you gain a potential customer.

A user who has a bad experience will tell at least five people and you blow any chance that those people will become customers.

Cloud gaming by the very nature of physics guarantee's that many many many people are going to have a bad experience.