For years, the OnLive Game Service has mostly delivered on its promise to bring cloud-based gaming to the world, despite some troubles in 2012 that forced the dismissal of most of its staff. However, this week, the company has confirmed that the cloud gaming party will soon come to an end.

OnLive sent an email out to subscribers yesterday, indicating that Sony has acquired 140 U.S. and international patents  from the OnLive company, as well as other assets. OnLive will be shutting down at the end of the month, bringing its cloud-based gaming service to a halt.

“As the first-ever game streaming service of its kind, everyone who has ever played a game using OnLive has contributed to the technology and its evolution in some way,” said OnLive in its email statement. “We’re immensely proud of what’s been achieved and extend our heartfelt gratitude to you for being a part of the OnLive game service.”

Per the company’s FAQ page, OnLive has no intentions of refunding customers for purchased game equipment before February 2015, and all games that were purchased on the service will also cease operation. Meanwhile, Steam counterparts will continue to run on that service, with no interruption.

While Sony hasn’t stated specifically what it intends to do with OnLive’s tech, it’s likely to be tied in with its cloud-based PlayStation Now service, currently available on PlayStation-based game consoles. Using technology developed by Gaikai (also acquired by Sony), it enables users to play PlayStation 3 titles through the cloud, through either a monthly fee or rental rates for individual games.

“These strategic purchases open up great opportunities for our gamers, and gives Sony a formidable patent portfolio in cloud gaming. It is yet another proof point that demonstrates our commitment to changing the way gamers experience the world of PlayStation,” said Philip Rosenberg, vice president of global business development at Sony Computer Entertainment and senior vice president of business development and publisher relations at Sony Computer Entertainment of America, speaking with Mashable.

In an exclusive follow-up for [a]listdaily, David Perry, founder of Gaikai, added, “No change to anything we are doing, just another demonstration of Sony’s commitment to PlayStation Now. Sony now owns both the Gaikai and Onlive patent portfolios and PlayStation Now continues to grow with over 300 titles available to rent.”

Perhaps Sony will announce its intentions with the OnLive service in a couple of months, during its press conference at the Electronic Entertainment Expo in Los Angeles.