Near the end of 2011, it was revealed that Big Fish Games was going to start cloud gaming service for smartphone and tablet games. For a low monthly fee, gamers were given access to a library of the company’s games. Unfortunately, it didn’t prove to be as lucrative as the company hoped. As such, the cloud service will be shut down.
“This decision reflects the reality that the costs to support streaming cloud delivery of premium games are too high, and the user adoption too low, for us to warrant continued investment,” wrote Big Fish Games founder Paul Thelen in a memo to employees obtained by Seattle Times.
The company is also letting go 49 full-time employees in Seattle, and is considering closing its offices in Cork, Ireland.
It may seem like totally grim news for Big Fish Games as a whole, but the company is doing well. Thelen said 2013 is the 11th straight year of record revenue for the company. Its cash flow is also positive.
Big Fish Games will continue to support an invest in its free-to-play and casino games since those genres have proven to be lucrative.
Read [Seattle Times]