Has anyone tried this out? Seems pretty nice, but I wonder about lag issues. They currently have a free trial with game demos available, I'll probably try it and let you all know how it works out.
OnLive is a cloud computing, gaming-on-demand platform: the games are synchronized, rendered, and stored on remote servers and delivered via the Internet. OnLive was announced in 2009 and launched in the United States on June 17, 2010.
The service is available in the United States for PCs running Microsoft Windows (7, Vista, XP) and Intel-based Macs with OS X 10.6 or later. A low-end computer, as long as it can play video, may be used to play any kind of game since the game is computed on the OnLive server. For that reason, the service is being seen as a strong competitor for the console market. All games on the service are available in 720p format and to play in high-definition OnLive recommends an Internet connection of 5 Mbit/s or faster. The average broadband connection speed in the US at the end of 2008 was 3.9 Mbit/s, while 25% of US broadband connections were rated faster than 5 Mbit/s.
Over 20 publishers, such as Electronic Arts, Take-Two, Ubisoft, Epic Games, Atari, Codemasters, THQ, Warner Bros., 2D Boy, Eidos Interactive, and others have partnered with OnLive. Over twenty seven game titles are currently available from the OnLive service.