Onlive could spell trouble for PC makers

Emtech: Brings gaming to netbooks - such a thing!

The launch of a new online games service could spell the end for expensive games consoles and hit sales of high-end consumer PCs, if it succeeds.

Onlive, currently on beta test in the US, allows users to play even the most demanding games on low-spec PCs or netbooks, which act simply as front-ends for code running on specially optimised remote servers.

Transmission delays are negligible provided the server is not more than a thousand miles from the user, Onlive founder Steve Perlman claimed at the Emerging Technology conference in Boston.

There have long been predictions that gaming will move online to take advantage of the almost limitless computing power of cloud servers offering processing as a service. This would affect the hardware industry because games have been a major driver in pushing up the power of consumer PCs.

A move online could also encourage users to make more use of the cloud for other purposes such as workaday office tasks. However, Onlive is not a typical cloud application because it uses specialised servers, packing a board that compresses the video data and fools games into behaving as if they are running on a normal PC.

Perlman reckons he can run a standard definition game on a 1.5Mbps link and high-definition on a 5Mbps connection, speeds which are now commonly available to broadband subscribers on the web. He claims to have the backing of leading games developers and says the system has advantages for both developers and end users.

"It cuts out piracy and the selling-on of [secondhand] games and it means users do not need a high-spec PC. They also don't have to bother about upgrading their hardware."
Perlman plans to take Onlive to Britain and the rest of Europe after getting it established in the US over the coming year.

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23 Comments

thesorehead Sep 28, 2009 10:55 AM	...to be seen in Australia about 15 years after everyone else gets it. This is already reminding me of the Foxtel/PayTV situation here in .au. Nobody. Cares.
bastard Sep 28, 2009 11:00 AM	It is an interesting concept, but I would really like to know how they are going to be rendering the 3d side of things and sending it to the client.
BaldyNumbers Sep 28, 2009 11:09 AM	if it works - and doesn't get affected too badly by lag - would be win for everyone... but what would it cost? probably as much as upgrading the hardware and buying the game yourself me thinks
BaldyNumbers Sep 28, 2009 11:26 AM	well... actually it might be a win for everyone except manufacturers and retailers of home PC & console hardware and software and the staff that they employ. Would also take the fun out of building a custom rig.
DiStOrTeD Sep 28, 2009 11:28 AM	One thing which has been addressed... Australia is a country where we pay for the bandwidth we use. Personally im on a 25gb a month plan and come pretty close to going over. Imagine if i was streaming a game constantly? one which required a 5mbps connection? I'd be capped in a week.
Mademan Sep 28, 2009 11:44 AM	Trying to stream a game from 1000 miles away through a Telstra operated phone network passing through water filled pits and past interfering tram lines doesn't sound terriblly promising. I don't see it taking off because I don't see all the big players in the market liking it. Sure it cuts out piracy, but it also appears to cut out the many ways they do make income - direct hardware and software sales, and the necessary upgrade cycle. But then again, maybe piracy and second hand software sales, coupled with the cost of developing the current gen consoles and competing hardware, really have done too much damage to the bottom line of the industry? And yes - how much does it cost?
H3VIW8 Sep 28, 2009 11:50 AM	this is by far the stupidest thing ever, i read about it ages ago, it was stupid then it is stupid now, it will be stupid forever.
Houseboat Sep 28, 2009 12:03 PM	I don't see this taking off at all in the near future. Think about houses which have multiple people gaming, most internet connections/download limits would struggle with one game being streamed, nevermind 2 or more people trying to stream the game. Also, how do they suppose anyone would be able to have a LAN at home with 10 friends over, the amount of bandwidth required would be rediculous. Nevermind 200+ person community LANs. The idea is all good in theory if you are just one person at home playing a game, but branching out into social events it doesn't seem like it would work at all.
SCARECR0W Sep 28, 2009 12:46 PM	Right...gaming....on netbooks...with the small crappy keyboard and screen. Destined to fail I think.
Rion Sep 28, 2009 1:17 PM	It has a lot of interesting applications and could very well be the next step in gaming but I don't like the cloud. It takes away my ability to control my own software and hardware. From a business perspective it's great, but as an enthusiast I find it a particular threat unless both systems are allowed to co-exist.
Rion Sep 28, 2009 1:17 PM	It has a lot of interesting applications and could very well be the next step in gaming but I don't like the cloud. It takes away my ability to control my own software and hardware. From a business perspective it's great, but as an enthusiast I find it a particular threat unless both systems are allowed to co-exist.
pkroeze Sep 28, 2009 3:45 PM	Well it's gonna be shit graphics and which gamer wants to give up a beast for a 500 dollar laptop. NONE me reckons
Jeruselem Sep 28, 2009 3:59 PM	Let's see ... small keyboard, tiny screen, slow CPU, dependent on network connection working. Sorry, that's not gaming.
SlickGrunt Sep 28, 2009 5:04 PM	Sounds too good to be true.
osama_bin_athlon Sep 28, 2009 6:15 PM	what a load of crock! games aren't the only reason for ppl building beastly PCs - some of us just don't want to own an underpowered PoS (me tries to imagine using my G25 and playing V8 Supercars, GRiD, DiRT etc with a 7" screen on one of those silly little netbooks - rofl) can't see it ever taking off, or taken seriously.
MagnumXY Sep 28, 2009 7:02 PM	Mmmm I agree with Rion I'd rather pay extra and have my privacy and safety of knowing I own the PC I'm playing on.
fliptopia Sep 28, 2009 11:37 PM	It wouldn't be well adopted by those of us who like mods either. Imagine playing oblivion on pc wiht the original interface and having no choice about changing it.
Turmoil Sep 29, 2009 1:11 AM	Although this technology may not be utilised by the high-powered PC gaming industry initially, there are other applications that could highly benefit. Take for example the use of this technology in console gaming. It could lower the console unit R&D costs, manufacturing costs, and could also extend the life of each unit as upgrades for the visuals and audio could be performed on the server instead of purchasing a newer unit. Another example of application could be its use in mobile phones and PDAs. Surfing the net could be sped up as web pages could be rendered in the "Cloud". Battery life could be extended with processing power demand decreasing and as wireless networking is becoming more efficient. There are a number of great uses for cloud computing, even if the PC gaming industry is not so willing to kick-start it off.
Jeruselem Sep 29, 2009 2:42 PM	This would be a Telstra NextG user's nightware actually.
InKiMo Sep 29, 2009 11:57 PM	No Sir, I don't Like it :-/
Argotha Sep 30, 2009 2:37 PM	/does not want internet$ > real pc$ i would rather have a real PC to use whenever I like and as much as like rather than be COMPLETELY dependent on an interweb connection
pappes Oct 2, 2009 6:31 PM	lots of detractors here. Image if games developers targeted a single hardware platform. No Nvidia Vs ATI issues, not users with shitty bottlnecked hardware, one known platform. Like a console but with a real set of HID kit. Now imagine that evryone else has access to that ecept YOU because you refuse to let the big bad industry dictate specs? Yes it would be shit for lanning, but it would remove 1/2 the reason for lanning (ping times to the remote server) Laptops can have external monitors,keyboards, they are just illustrative of common lower spec hardware on the field.
SquallStrife Oct 5, 2009 8:53 AM	I see the Internet BAWWW machine is hard at work! Gotta love nerdrage. It's pretty obvious that this is a niche tech. Don't worry, there's no threat to your ability to regurgitate your system specs on forums! ;)

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