We confirmed with an OnLive representative that the games were demoed on the streaming game service. Just to clarify, the Fiona is reportedly running Windows 7 locally: though it's technically possible to stream that from OnLive too (just take a look at Windows 7 running on this iPad) we're told that the OnLive Cloud Desktop isn't powering the entire experience this time around.

Update: Razer just contacted us to dispute the claim, saying that games are running locally on the Fiona. We're going to follow up ASAP.

Update 2: Our original story was wrong, and we apologize. Though the Fiona prototype does have OnLive installed and a partnership is in the works, we verified first-hand that games run locally on the Core i7 Ivy Bridge processor from local storage, and are not streaming in any way. We asked Razer to start at the Windows 7 desktop, launch Steam, set it to offline mode, disconnect the Wi-Fi, and even unplug the Fiona's cord, and the company happily complied. Warhammer ran (and performed just as well) as it did when the tablet was fully connected. We reached out to Razer and spoke to OnLive ahead of publication, but there was some miscommunication and we apologize for the confusion.