At the currently ongoing 2009 Game Developers Conference in San Francisco, a new company called OnLive introduced itself to the gaming world with a bold claim. Based in Palo Alto, California, OnLive, the name of both the company and its on demand online gaming platform, is presenting a games on demand service, promising to instantly deliver the latest high-end titles over home broadband Internet to the TV and entry-level PCs and Macs. In it's current development state, OnLive is supposed to deliver fullscreen gaming action at a resolution of up to 1280 x 720 at 60 fps - if you do have a 5Mbps connection. The slower your connection, the smaller the resolution gets, of course.
According to OnLive's CEO, Steve Perlman, this new technology was being developed and worked on for seven years already and is paying tribute to the wide availability of consumer broadband connectivity and the shift to cloud computing in general. Perlman states that their new video compression algorithm only takes one millisecond of lag to encode the video.