As interest revs up in the cloud 
gaming world, venture capitalists are doubling down.
Playcast has raised $10 million in a Series B funding round to help it expand its ongoing rollout of services to telecommunications companies and cable television providers. MK Capital, a Chicago/Los Angeles-based venture fund specializing in digital media, and JVP, a leading Israeli venture capital firm focused on media, technology and content, led the round.
Disney is swinging the ax at Disney Interactive 
Studios, cutting hundreds of positions, sources have told Variety.
Disney declined to give a number of people affected, but speaking off the record, people who were affected by the move said it could be as much as half of Disney Interactive Studios. Several vice presidents and directors were among those cut. (Variety has been unable to verify the exact count.)
Another old-school video game is getting the
live action treatment – but in a different way than its peers.
While Universal is trying to bring “Asteroids” to the big screen and Namco is shopping a 3D series AND reality series revolving around Pac-Man, Warner Premiere has announced plans to create a series of live action digital shorts around “Mortal Kombat”.
“Duke Nukem Forever,” the longest 
running punchline in the video game industry, finally has a ship date – and all signs are the game will actually stand by this one.
After more than a decade in development, an apparent cancellation, an IP ownership transfer and a miraculous revival, the long-in-development game will finally hit retail shelves on May 3.
The tech world got one heck of a surprise Thursday afternoon when long-time 
Google CEO Eric Schmidt announced he would be ceding the position to company co-founder and president of products Larry Page.
It’s a move that tech analysts are trying to piece together to determine what it will mean for the future of the quickly expanding company. But what, if anything, does it mean for the entertainment industry?
At this year’s CES, television manufacturers 
shined the bulk of their spotlight on connected TVs and the variety of apps that were on the way for the sets. At Samsung, though, customers are already embracing those apps in a big way.
The company has announced that 2 million apps have been downloaded from its marketplace since it launched last year. And the rate of adoption is escalating fast.
3D is just two months shy of 
taking its biggest step into people’s homes.
Nintendo announced Wednesday that its 3DS handheld gaming device would go on sale March 27 in North America for $249.99. The system allows users to play games in stereoscopic 3D without special glasses.
Despite speculation that they 
might miss their launch target and price the system beyond the comfort zone of the mass audience, Nintendo’s 3DS handheld gaming system will launch on time and at a price point lower than many feared.
The 3DS, which lets players enjoy games in stereoscopic 3D without the need for special 3D glasses, will go on sale in North America on March 27 at a price of $249.99. That’s $100 higher than the launch price the DS had in 2004, but lower than the $300 many feared when the Japanese launch price was given.
In the video game world, there’s bundling – 
and there’s true customer appreciation.
Valve Software is showing other publishers how to beef up a software release without looking like an obvious play to boost sales. The company announced Tuesday that gamers who buy the PlayStation 3 version of “Portal 2” will receive the PC/Mac version for free.
Following the disclosure on Monday that Apple CEO Steve 
Jobs will be taking his third medical leave in six years, Apple shares fell 4% in early trading on Tuesday, or $14 to $334.35.
Since the markets were closed on Monday due to the holiday, this is the first glimpse at how U.S. investors are reacting to the news. Some analysts late on Monday had predicted shares could fall by 10% in early trading. Apple is expected to release its quarterly earnings after the market closes on Tuesday.
Chris Morris: Journalist 