Analyzing human brain activity can be quite time consuming. So thats about it. :)

So are they going to change the laws of physics so that an Internet connection has good enough latency for games to respond well?

How in the world did you calculate framerate from lag? The two concepts aren't correlated at all (you can have low framerate with low lag, high framerate with high lag and anything in between).

Judging from recent threads about lag in games, 30 ms connection lag would almost double the response time as compared to console games. And of course, 30 ms lag requires a good connection and nearby servers as you said.

I think Squilliam is referring to you getting a frame refresh with every "ping". So if you get 30ms you could refresh about 33 times? I don't know.

I think that's what he meant.

Extremely interesting, being able to play Crysis on a cheap $200 netbook? Awesome.

America needs to work out a solution for its slow networks before I see this taking off, at least for serious gamers.

Well that would be an extremely lame way to do it. Since ping times vary quite a lot, that would make for extremely jerky framerate. The alternative is buffering which introduces even more lag...

Change the laws of physics? Probably it would be easier to wait 2-3 years until it will be good enough anyways. 

Seriously, to everyone who is complaining about internet speed: you just don't realise, that it is one of the fastest evolving parameter of the modern electronics. My speed got doubled two times in two years, from 512 Mb to 2GB, without costing more. 

Is it so unlikely that in 2012, when the next console generation is supposed to start, one or more of the competitors will base their technology on the millions of gamers who will have 16GB net around that time?

(although I agree that this particular product might came too early, cloud gaming is the unavoidable future)

You're looking at the wrong numbers. The problem is not connection speed, since current connections are more than enough to transfer the stream.

The real problems are latency (aka ping time, aka lag) and jitter (i.e. non-constant latency), and that's not about to improve dramatically (in large part due to the laws of physics I mentioned).

Local servers and light fiber for every user. Problem solved! Next problem profitability.

(Trying to be comical here!)

Isn't this like solving the traffic problem by giving everyone... I dunno, personal beanie helicopters?

I am not much for analogies apparently, I mean that it doesn't seem feasible.