OnLive metrics “design games better”

The popular cloud streaming gaming service founded by Steve Perlman (QuickTime, WebTV) OnLive is apparently not only reaching out to the playing masses, but to developers as well — through user feedback — which, according to Perlman, are designing games “better” due to the system’s metrics; something he describes have been seen in companies like Zynga and Playfish.

“They study the data so carefully to understand what makes the best sense for the users and what makes the best sense from a business point of view, and they come up with this happy medium where people love playing their games and they make a lot of money,” expressed Perlman, referring to Zynga. “It’s been very, very hard to do that in the core game market because of the very high friction it takes to getting the games out there.”

“We gave the publishers tons and tons of data, they love it. It allows them to go and make decisions, to design games better,” added Perlman. “This is managing core gaming with metrics the same way that Zynga manages social gaming, that they’ve never been able to do before.”

Gamers are happy. Developers are too. But what about the publishers? “From the publishers point of view they want to sell as many of these as they can and right now it’s tough because they have this cliff right after the game’s released because the used game market begins to carve into all their sales,” he explained.

“There’s no way to pirate a cloud based game. Because the game is not running locally, it’s running in the cloud. And there’s also no used games, so the margins zoom up for them. And what that means of course for the consumers is that prices can come down.”