OnLive to offer streaming movies

OnLIve Game System (Nov 2010)

Would you like some movies to stream with your games? OnLive is betting you will. The game streaming service is in talks with movie studios to add Hollywood films to its roster of deliverable content, setting it up as a potential competitor to Netflix. The service may launch in early 2011.

“Streaming technology is available to anybody,” OnLive Chief Executive Steve Perlman said in an interview. “We want to work with the studios. All of these guys want to offer content, we’re just here to distribute. OnLive can deliver any experience that Netflix can.”

Time Warner, also a major movie studio, invests in OnLive and will provide some of its movies to the service. Other studios may sign on board as fear of Netflix domination continues to grow in Hollywood.

Just last week, OnLive created an unlimited PlayPack plan, that lets users freely play whichever games they want for $9.99 a month. And yesterday, the company announced that it plans to release iPad, iPhone, and Android apps so subscribers can watch others play video games on the go. While it sounds boring, OnLive says that game spectating is one of the most popular activities users do on the service.

Much like Netflix is for movies, OnLive is a service that lets users play video games from the cloud. Imagine playing a game, but instead of having an Xbox console attached to your TV, instead it was at a house down the street, but you could play it remotely from your TV over the Internet. All of the processing is done remotely, so graphics and games can look far better than they do on standard consoles and PCs.

The prospect of a game streaming service that also offers movie and TV shows is pretty appealing. Do you think this is a step in the right direction for OnLive?