The monthly fee removal is a pretty big deal. The most mind boggling thing about OnLive was that you had to pay a monthly fee (originally a substantial $15/month) to play the games you already bought.
Yes, you're using their servers and their bandwidth in addition to your own, but it's still pretty hard to shake the concept of only having access to something you "bought" if you maintain a montly fee.
While I do see this sort of thing being the way of the future for consoles if the mindset continues to shift from local hardware to online services, it still feels as though OnLive is trying to capitalize on the market a bit too early with a bit too little in terms of what they currently provide (game performance and selection).
I'll continue to stick with Steam, periodic hardware updates and the ability to play local content at optimal performance until this changes drastically.
