According to a report this morning, OnLive is launching a subscription-based movie streaming service on an undisclosed date in 2011. The news comes from the Wall Street Journal (subscription required), who cites growing concern among media companies that Netflix has grown too large on its own and diversification is desired (read: they want a piece of the large, money-filled pie as well).

In other OnLive news, the streaming-only company released its first iPad app today (creatively dubbed "OnLive Viewer"). The application allows user to see what's available for instant streaming (on a computer, not on your iPad), see other players' "brag clips," and watch trailers. Though the app has an official page on Apple.com, we're having some issues downloading it at the moment, but that could just be release hiccups.

Then again, you're probably already watching trailers (and reading news, reviews, previews, and so much more!) on your Joystiq iPhone App, right? Good! Glad to hear it!

Update: The App is currently only available in New Zealand, which explains our downloading issues. We understand that the App goes live for US residents tonight at 11:00PM EST. Enjoy your temporary exclusivity, Kiwis!

This article was originally published on Joystiq.