My biggest suprise is to hear on-live launched. A bad deal was already a given, but I can hardly believe it's possible.
Unless they keep a mainstream/high-end PC for every subscriber they think may login at any time, there is just no way they can actually have the hardware to run several current PC games from a big server.
The first will never be economically feasible and the second requires emulating many core2duos and 9800GTXes on the starship enterprise.
Then you will have nasty lag between mouse input sent over the net and waiting for the screen image to get back, even on the best broadband available.