Then they would be broke within a very short time unless its for a very small group of people even streaming one single game will take a huge amount of bandwidth.

The difference is huge, actually WoW could be played with this service the difference would be you can basically have an pc that is below the minimum requirements of the game and still play it on high end settings and a high resolution without any issues. That is the whole idea behind this, basically the game is run on a very high end pc then only the video is streamed to you so you move all the cpu, gpu, memory etc requirements to only bandwidth requirement. Of course this concept will have many issues to overcome one and most important one is to be able to ALWAYS be able to provide enough low latency bandwidth to you in order to keep the game lag free.

What this guy did I've done many times. Sure I didn't steal anything but using this tactic to get the advantage over others is dead easy. for example... long line in front of a store selling the new Wii "sorry, passing trough - sorry i work here." and 5 minutes later I walked out with my wii while others spend hours waiting. It just takes a certain aura really when people see you walk by they have to think "he belongs here" you'd be surprised how easily I can cut a line in a attraction park wearing a old repair company jacket I got for a spare time job. Why wait a hour or more if you can just walk past everyone... I'm pretty sure I could walk in most large companies take almost anything I want and walk out without anyone questioning it. As mentioned above just stick a big sticker "RMA" or "repair" on a 30" monitor and walk outlike you're just doing your job. I wonder if this falls under social engineering.. I mean you're basically (ab)using the people around you to believe you're someone else.