An OnLive spokesperson tells Joystiq that the company has examined both patent applications after being contacted by T5 head Graham Clemie and "saw no relevance whatsoever to OnLive and told him so. We are approached by people with irrelevant patents all the time. We are highly confident in our own patent portfolio, and have no further comment."
Things seem fairly cut and dry from OnLive's point of view. T5 only says so far that it is "deciding whether to commence a procedure in the U.S. Patent Office known as an 'interference,'" which would establish the correct patent ownership. We'll see what -- if anything -- comes of that.