Sony buys cloud gaming company Gaikai

John Moe Jul 2, 2012

Okay, so it sort of seems like when it comes to gaming, Sony is kind of screwed. We know there’s a new Xbox on the way from Microsoft and it’s being positioned as a home entertainment hub that also happens to play games. We know Nintendo’s WiiU is on the way soon. But Sony? The PlayStation 4 is coming but not for a while. And the PlayStation Network got severely hacked recently and is dependent on existing hardware anyway.

Solution: perhaps going to the cloud! Sony is buying the cloud gaming company Gaikai for $380 million.

From VentureBeat:

Sony could use this technology in multiple ways. For instance, it could use Gaikai to run older PlayStation 3 games on its upcoming PlayStation 4, without having to convert those games through a tortuous process known as porting, which would be effectively rewriting PS 3 games to run on a PS 3. That allows Sony to design the processor and graphics of the PlayStation 4 in any way it wants, without worrying about backward compatibility of the console. That in turn could reduce the costs of the PS 4 dramatically, allowing the company to sell its console for less money. That’s important because the PS 3 initial $600 price was an albatross around Sony’s neck during this console war.

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