News broke over the weekend of OnLive's plan to restructure and look for a new buyer in the process laying off employees. When an anonymous buyer appeared, HTC's investment into the company returned a loss of $40 million.

OnLive is a cloud gaming service allowing titles to be streamed, with backers ranging from Warner Brothers to AT&T. It includes a 'console' and controller. OnLive said it will continue to operate as normal; existing games and services remain intact for the 1.5 million active subscribers.

Apparently, a "lack of operating cash," probably referring to OnLive's financial woes, partly caused asset restructuring, according to the IDC. Over the weekend, reports of OnLive's troubles surfaced from Kotaku and The Verge, with the news following a sighting of employees carrying boxes. OnLive apparently cut half of its employees while declaring bankruptcy, so it did not have to pay redundancies. Half of the original staff is retained, and executives receive "reduced compensation" to retain employees. "Substantially more people," including former OnLive employees, will be hired thanks to the new investor's "substantial funding".

The mysterious investor finally revealed itself as venture capitalist group Lauder Partners LLC, headed by Gary Laudman.

HTC invested in OnLive in 2011 as part of an attempt to bring a more games to HTC's devices. Android, the mobile operating system for which HTC primarily builds, seems to lack quality games compared to Apple's iOS. This may be due to the fragmentation across Android, or developers may think that iOS does a better job of promoting games.

HTC recently said that it needs to be "innovative" if it is to be competitive with other Android manufacturers. The company used to be synonymous with Android, through devices including the HTC Desire, but HTC's recent devices, including the One family, have moved aside for devices like the Samsung Galaxy S3, released on May 29. The company's CEO also sent a memo to its over 16,000 employees, urging it to not listen to the "market" negativity.