Rumors swirl over OnLive as employees leave with packing boxes

First reports of problems came, as so much does these days, on Twitter when Brian Fargo of InXile Entertainment tweeted, "Their employees are sending out emails that OnLive will be closed by the end of the day."

The tweet was quickly picked up by Mashable and spread across the Web.

OnLive has been largely silent on the issue. Numerous calls and emails have gone unreturned to IDG News Service, however a company spokesman has reached out to some media.

The spokesman, Brian Jaquet, told Mashable, "no comment on the news other than to say, the OnLive service is not shutting down."

Around 2 p.m. some employees were seen leaving the building carrying packing boxes. Others entered and still more could be seen inside, but no one had anything to say.