OnLive plans movie streaming service

OnLive CEO Steve Perlman wants to offer a video streaming service alongside the company's core business of cloud gaming, and says that TV and movies will be available on demand via OnLive next year.

Speaking in an interview with the Wall St Journal, as reported by Reuters, Perlman stated that his company is already in talks with major TV suppliers and movie studios and issued a direct challenge to movie streaming market leader Netflix.

"Streaming technology is available to anybody. We want to work with the studios. All of these guys want to offer content, we're just here to distribute...OnLive can deliver any experience that Netflix can."

Games will remain the company's main focus, Perlman continued, because they offer a higher profit margin than films, but a share of Netflix's business would be a welcome revenue stream addition.

OnLive launched in the US in June and has gone through a number of different payment models, scrapping the service subscription fee and introducing a flat rate payment model to access all game content. It's unknown whether film and TV streaming will fall under this flat rate or not.