What Happens When Games Go to "The Cloud"

On Wednesday, a startup called OnLive that’s generating a lot of buzz–and skepticism–in the videogame world raised a new round of financing from AT&T, Warner Bros. and others. We spoke to OnLive founder Steve Perlman, a well-known serial entrepreneur, about the investment (which wasn’t quantified) and some of the implications if OnLive or startups like it are successful.