PS Now has a bigger library than Game Pass, so Sony is off to a good start here; now to see if they will eventually start releasing their major releases on PS Now day and date like Microsoft does with Game Pass.
In what will presumably be their answer to Microsoft’s Game Pass offering, they have confirmed that from now on, you will be able to download PS4 and PS2 games available on the PS Now service to your console and play them locally (in addition to streaming them, if you’re so inclined).
Your save file from streaming will transfer over to your console as long as you have PS Plus, but, more interestingly, you still won’t need PS Plus to play PS Now games online, even if you are playing them locally—which makes this a very appealing proposition to a lot of people, I will imagine.