There are high hopes that, eventually, the video game industry will be able to replicate the success of streaming services such as Netflix and LoveFilm.

Although cloud-based streaming is still in its commercial infancy, one company is hoping to grab the initiative and is rumoured to be targeting buyers.

Fortune senior editor Dan Primack cites sources suggesting the service has already targeted a value of around $500 million.

The company has already raised $45 million in funding in venture capital, securing funding from firms including Benchmark Capital and Qualcomm Ventures.

California-based Gaikai provides the open cloud platform through which publishers can stream trials of the latest video games.

Earlier this month, German-based Gamesrocket announced a collaboration with Gaikai, requiring little more than a good broadband internet connection to enable gamers to enjoy their titles.

The aim is to enable customers to play games without investing in the latest, highest specification hardware to do so. So far, the industry has responded well. At E3, Gaikai received praise from Electric Playground for its visionary objective of making games as accessible as music and movies through the web.

Supposedly, all of the system requirements are provided by the high-performance Gaikai servers. Games start directly in the browser and full screen, similar to a video on YouTube.

Games capable of being streamed instantly currently on offer via Gaikai include Black Mirror II, Alan Wake, Fifa Soccer 12, Darksiders and Need for Speed: The Run.

There hasn't been any confirmation of possible suitors for the platform, although there have been suggestions that existing video gaming brands could be in the running.

Given the success of Netflix and LoveFilm on consoles such as the PlayStation 3 and Xbox 360, there is an obvious attraction to an equivalent video games service for Sony and Microsoft.

However, the outcome could be markedly different from a gaming perspective if games publishers themselves choose to get involved.ADNFCR-1220-ID-801394018-ADNFCR
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