I would think that performance-wise, this would be much better than a service like OnLive, since you don't necessarily have to have a beefy internet connection. You just need a router that supports high bandwidth, which most do nowadays.
wait. am i freaking missing something? Are they wanting us to spend hundreds on a steam box, just to stream the game from our $1000 gaming computer, TO the steam box, TO a monitor? THEN WHATS THE FREAKING POINT OF THE STEAM BOX. WHY NOT JUST HOOK THE GAMING COMPUTER TO THE MONITOR. PLEASE SOMEONE TELL ME, IM CONFUSED.
I don't know about others, but I do not want my gaming PC in my living room. It's big, has a lot of wires going to it, and will not fit on my living room shelf. My wife has a thing for visible wiring, so all components are mounted and wired in a way that everything is hidden.
^ you don't have to stream there are apparently a lot of devs who say they are going to port their stuff over to Linux (steamOS)
but if you have a big machine you could install steamOS (by itself or dual boot) on another computer in your house (like a laptop) and play all your games on that computer
steam boxes are also not locked to just steamOS you can install windows on it if you want