all the good things about gaming will die, modding, collectors etc.

Download limit is not a issue here too, but need of close servers is. When i play games online(ie. css) i generally have around 60-80 ms latency to server's at Germany, but the amount of data transfarred is small.

For me to get latency(altogether with comression/decompression/sending data)less than 50ms servers should be in Istanbul or closer.

Also there will be latency issues unless they pust servers on every major city on europe. they need a lot of hardware and software(which they look like they already solved.)

Also this wont stop the piracy, they will need vigintillion of servers around the world, and the server software video compressor etc will leak to the scene, people will build cracked OnLive servers.