I would like to think that in the near future, computer software companies won’t sell full versions of their software but only apps. Computers will be bundled with a freeware OS and internet connectivity and all software will be through apps. This way, software prices will e considerably down but software piracy is down to nil.

Personally see the future more of a simple box for the console of the future, with streaming the game to it. The systems been shown to work already with systems like OnLive, and sooner or later one of the major console makers will go this route also. Hardware costs for the user will be smaller, margin's better for the manufacturers due to cutting out the “middleman” of selling games directly and possibly the monthly/annual connection charge. Throw in streaming movies/tv/music and you have a content distribution system which gives users choice and the ability to use it for more than just games. A simply third party app system to give users access to services like twitter/facebook/netflix/hulu etc. and you have a system which gives users more choice, and better pricing as hardware cost of a big console is no longer needed. The choice of games is also increased due to the streaming nature of the service allowing full access to a huge back catalogue from earlier consoles. I really can't see a point in future high end hardware for consoles. It's something that these day's simply isn't needed, and is a huge bind due to added cost of the device. Lower production costs for the device, lower power consumption, and much more reliability due to how simple the consoles become make it pretty perfect…well that could just be me though but I want one

Believe me Allan, I am all for OnLive and all the wonders it brings. It's been a huge boon to me as a Mac gamer (though when are we getting ME2!?) and the software works much better than I expected it would. My only concern, however, is having something to play whenever I don't have access to the Internet. Then again, maybe that's a niche that the Playstation Portable or iPhone can fill.

That's an interesting thing to think about — what's the effect on piracy with a subscription-based service like OnLive? Obviously it seems like it would be none.

Very true, there is also the issue of ISP's who have bandwidth caps which would be a huge issue on streaming gaming. Seen a few cases of how OnLive has really eaten into heavy gamers bandwidth limits and caused additional charges from the ISP's. I don't really see the lack of connection a big issue though, as with the 360 etc. we already have to login for our profiles and the current Live games etc are all through the online store. It's most just a progression from there to simpler hardware and streaming. And yes, no piracy at all has to be a bonus for the developers and publishers.Another great advantage to streaming (not yet seen due to how earlier a move it is) will be the ability to expand games in ways currently not possible due to hardware limitations. A stream isn't hindered by what can be done graphically, or size limits caused by media size. The only real limitations come in due to control systems, but those can easily be solved through the use of various peripheral additions to a device. There is also the whole licensing thing, where in theory we could see things like Forza and Gran Tourismo streamed since hardware is no longer locked as it was. But sadly can see different companies try and lock in certain games to different streaming services…but the solution to that would be an industry common platform, and well…little chance of that kind of uniformity sadly.Mobile wise, can see streaming gaming to a phone also working. Yet with the quality of current connections the infrastructure is still many years away. But one day maybe. Think the hardheld console like a PSP is pretty much extinct these days though. Phones have better hardware and a larger install base. And with Sony moving to Android for a PSP phone, seems like it's the portable gaming move even the major companies are going for. But as it stands, and with how fast mobile hardware is progressing we'll probably have the hardware equivalent of a PS3 in our pockets by 2013.

This guy spelled Xbox 360 wrong every time. It's Xbox 360 not XBox 360!

One of the additional concerns with OnLive et. al, apart from data transfer caps is that bandwidth growth does not obey Moore's Law. There are two implications here. Firstly, the cost of delivery of games on a streaming platform is losing the battle against that of a local platform (especially when you consider the gameplay duration of f.ex. Final Fantasy, or Fallout 3). Secondly, the more successful the streaming platforms become, the more they will overload the network infrastructure, and the worse the experience may become. Of course, re-engineering the delivery data can alleviate the latter problem….stream polys, cache textures etc. and you'll reduce the bandwidth required for a play session. You'll then lose the main USP of the service (low cost client-side rendering) but you've still fixed the piracy aspect.I'm uncertain as to where server-side rendering is going to fit into the gaming ecosystem…if I were forced to guess, it'd either be leveraging the ability to “take it with you” coupled with more casual usage patterns, or (as Allan alludes to) some über-high-end niche gaming where there is a unique offering. One thing I don't see is it eliminating the mainstream gaming market anytime soon.