Skyfire Labs reports that it has been forced to suspend sales of its new Skyfire app after only a few hours of sales due to extremely high demand. Released yesterday afternoon, Skyfire allows users to view online Flash video from the web by using intermediate proxy servers to transcode Flash video to an iOS-friendly format. Skyfire Labs reports that the application was received with “unbelievable enthusiasm” and became the top grossing app on the App Store within five hours, however the popularity of the app quickly overwhelmed the company’s proxy servers and bandwidth causing the video experience to degrade. As a result, the developer has suspended sales of the application, declaring the app effectively ‘sold out.’ Skyfire reports that it is “working really hard to increase capacity” and hopes to be able to resume sales of the application soon.
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