Cloud gaming service OnLive is readying an Apple iPad app and planning on streaming movies in addition to games.

OnLive's move into streaming movies will see the company take on established offerings in the market, such as the popular Netflix service in the US.

In talks with studios

OnLive is in talks with major film and TV studios, hoping to offer TV and movie content to its customers at some point in 2011.

"Streaming technology is available to anybody," OnLive Chief Executive Steve Perlman said.

"We want to work with the studios. All of these guys want to offer content, we're just here to distribute.

"OnLive can deliver any experience that Netflix can," Perlman added, although declined to provide any plans for pricing models at this point.

OnLive on iPad

OnLive currently lets American gamers pay for streamed games individually, or pay a monthly $9.99 'all you can eat' flat-rate plan.

Perlman stressed that games are still the main focus of OnLive, mainly because they still offer considerably higher margins than streamed movies.

In other OnLive news, the company is set to release an iPad app called the "OnLive Viewer," – although you won't be playing OnLive games on your iPad any time soon, more's the pity.

Rather, the (free) OnLive app will let users view trailers, see what's available for streaming to PC, and check out other player's "Brag Clips."

Via Engadget and Reuters