It still amazes me how many people bash cloud gaming without even trying it. Let me put it in terms a hardcore gamer should easily understand: I have two laptops. One is newer, with a dedicated graphics card and i7 processor. I used the new one to beat "The Witcher 2" on medium-high settings (just for frame of reference on the specs of the new system).
The other is a few years old, with an Intel Core 2 Duo processor and no dedicated graphics card. It can barely run "The Witcher (1)" on low settings (again for frame of reference on the specs).
However, I played several hours of Assassin's Creed 2, Borderlands GOTY, and I even beat Batman Arkham Asylum on the older, weaker laptop, thanks to Onlive. (Neither of my machines had any luck with Gaikai, btw). Not only that, but when I travel, I can take my Onlive micro-console, which fits easily inside my suitcase, and can continue my "Hardcore" games from any hotel, without risking my gaming laptop getting lost or stolen.
And when Onlive's cell phone app comes out, I won't even need that, as I can just bring a controller and a micro-HDMI cable and connect my cell phone to the hotel TV, and pick up my hardcore save games right off the cloud. And the cell phone app is supposed to let you connect from anywhere with a Wi-Fi connection (i.e. Starbucks, doctors office waiting rooms, etc). I don't know about you, but I would rather play a full PC version of AC2 or Batman: AA than Angry Birds on my cell phone.
Still think Cloud gaming is stupid? How about I don't need to upgrade my laptop every year just to play the latest games?
True, Onlive at present is not AS GOOD as playing the same game on a maxed out machine, but since I can still play the latest games at great resolution with only rare lag issues from my weak laptop that would not even be able to install them otherwise, I think I will keep using Onlive, thank you VERY MUCH.