Cloud gaming service OnLive valued at $1.1bn

Cloud gaming service OnLive is said to be worth in the region of $1.1 billion

Cloud gaming service OnLive is said to be worth at least $1.1 billion (£692 million) according to a recent market valuation.

Not bad, for a recent start-up that has already had its fair share of criticism from gamers and industry pundits alike, many of whom believe that lag in the gaming experience will hamper the growth of cloud gaming services in the near future.

BT to roll out UK OnLive soon

BT has already invested around $30 million in the new gaming service (£18.88 million), as has Belgacom, each acquiring a 2.6 per cent stake in OnLive, which launched in the US back in June.

A new Delaware filing says that OnLive shares are valued at $7.50 each, with venture capital experts estimating that the entire company is now worth anything between $1.1 billion to $2.2 billion.

BT and Belgacom hope to launch the European versions of OnLive soon.

To date, OnLive is not commenting on the filing with the state of Delaware. Other investors in OnLive so far include AT&T, Warner Bros., Autodesk, Lauder Partners and Maverick Capital.