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What prevents a game developer to offer such services , computed in the cloud and streamed to home displays ? the streaming speed wouldn't need to be that great, and the latency manageable, like onlive have shown us.

And the economics will be quite nice for the game developer since they pay per use for onlive servers. Said economics would also be nice (at least in the beginning) , for users who wouldn't need to purchase an expensive machine.

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It depends on how much you are streaming. I can stream 1080p fine on my 20Mb connection but 2 1080p streams and the internet is basically unusable for anything else.

If you have a street full of families with everyone all streaming 1080p near constantly you are going to need to greater capacity.

And that's only at 1080p, what about high resolution 4K displays etc? What about when as well as keyboard and mouse input you want to send output for high precision accelerometers , biometric data etc etc.

That could be done. But what I wrote about above wasn't the only idea I can think of that could use heavy bandwidth, and the quality and richness would be better with local rendering anyway.

What I'm ultimately talking about is a "640k is enough for anyone" mind-lock mentality around bandwidth. There are all kinds of possibilities when you have hundreds of megabits or more to work with.

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