So you've gone with spending billions on infrastructure. Excellent choice.
You don't have to "spend billions" to have a great user experience.
You have to know what you are trying to accomplish and find ways to implement it.
You don't have to be AT&T,Sprint or Time Warner with hundreds of million(billions? who spends billions on internet infrastructure? DARPA? )in R&D to implement what Onlive has done.
Otherwise how did Onlive do what AT&T,Sprint,Comcast etc didn't and they make 1/1000 the revenue they do?
I don't think Onlive is "spending billions" for its service.