"Its first partnership, announced Wednesday night, is with the South Korean manufacturer LG Electronics to stream movies and other programming to LG’s high-definition televisions."

http://www.nytimes.com/2008/01/03/te...

My bet, it's not a typical Internet streaming process.....but a download to memory(flash in particular)....where the end user has complete control of the movie......FF....RW....pause....etc.

The cable providers are not going to like this, they'll challenge the tech driving the service. Especially with it maneuvering around the set top box services they offer, where, the delivery is on their infrastructure, it's too commercial for them to except it. IMO, at some point they will deliver this service from RF/ DTV(digital TV) soon bypassing the cable provider back bone all together.

We might be witnessing the first turf situation.

doni