HTC is writing off the entire cash value of its investment in online video games company OnLive.

The Taiwan handset manufacturer said today it was taking a $40 million charge, largely due to OnLive's restructuring.

HTC bought a $40 million stake in OnLive in February 2011 in a bid to increase its mobile content offerings. OnLive's restructuring, prompted by a shortage of operating capital and lack of new funding, has wiped out the value of the investment.

Separately, HTC said it invested $35.4 million for a 17 percent stake in Magnet Systems, the maker of a development platform for enterprise apps.

"The investment will bring social, mobile, and cloud capabilities to HTC’s portfolio of service offerings to its mobile enterprise customers," HTC said in a statement today.

Magnet Systems was founded by Alfred Chuang, the executive behind enterprise infrastructure company BEA Systems, which was purchased by Oracle in 2008 for $8.5 billion. Chuang currently serves as Magnet's CEO.

The announcements come about a month after HTC decided to halve its 50 percent stake in Beats Electronics. The two companies continue to collaborate, and have said they will launch a joint marketing campaign later this year.

HTC's investments have been aimed at helping it compete more effectively against smartphone rivals Samsung and Apple. The two companies that have eroded HTC's market share in the United States and international markets.