Does anyone have any links as to how this actually works? The only way I can see is if it stores some info on the device itself so as to avoid lag?

Just like your assumption that it's the same?

Based on current information, it is the same. Aside from 4 games announced (lol) there's nothing that has been officially provided that differentiates it from Onlive. Meaning, I didn't present an assumption. I presented facts based on current information.

Probably there is nothing on the device. It's actually simpler than it looks. Your device receives a compressed video of the game using some lightweight codec. If your connection allows you to see HD YouTube videos, this will be fine. Your input will be captured and uploaded to the server (that will translate that to game input). It's similar to what happens on an online match of any game, where your current status must be uploaded to server all time. It's just a tiny amount of bytes. The problem here is latency, your current ping to the server. The solution for that is to have the server as close as possible from the user, so it's more about having more geographically distributed data centers. Because of that, expect the service to be released for countries, waiting for analysis of the quality of service and then expanding it to other places.

So far, other than being offered on Sony devices, it appears that there is nothing inherently good about it in therms of image quality and input lag (this is always the problem with streamied games).

It may be good enough for standard def games if the servers are pretty close to your home... and I wish they streamed at 60fps...

I have to see games and pricing before making any statement about it.

Here you go. Directly from the PlayStation Blog website.

PlayStation Now Streaming Game Service Coming this Summer

http://blog.us.playstation.com/2014/01/07/playstation-now-streaming-game-service-coming-this-summer/

Hands on: PlayStation Now Game Streaming

http://blog.us.playstation.com/2014/01/08/hands-on-playstation-now-game-streaming/

Except of course that the impressions we have of PSNow are that it works. Which OnLive really doesn't. PSNow also has a stable platform to play games on with the PS3, PS4, and Vita on top of the fact that you can use the DS3 on Non-Playstation devices. That will only grow as more devices become compatible. That is something OnLive never had. It also has a library of games to pull from without having to try and negotiate with publishers (which would be easier for Sony anyways). OnLive also mainly sells games where as PSNow is mainly going to be a subscription service.

It's true that they both have the same basic fuction, to stream games (and possibly other content) over the internet. But, underneath they are very different.

Edit: I should also point out that PSNow lets you play online with people playing the game on the regular console

I am not really sure what Sony is trying to accomplish with this, other then trying to find new ways to bring in money because their 1st party game sales are bad. If its $10 a month, they are going to pretty much be giving away their library to people and would need to have 10 million subscriptions per month to bring in $100 million, which is only the equivelent of a new title selling 1.7 million copies. If its $20 or more a month, they are probebly going to outprice themselves unless you receive a ton of new games. Maybe it works, but it seems pretty risky to just allow access to your old library like that for a low monthly fee. I could never see Disney or Nintendo doing this.

Yea but I'm not worried about that most of those complaints are from people with horrible internet, or kids who have cheap parents. I have over double what is reccomended I'll be fine.