What I'd like to know is how this is even feasable? I mean think about the amount of bandwidth this would have to be sucking down toplay a game like Crysis or any other fast paced, super high detail game at a high resolution and 30+ framerate without lagging. We're talking Gigabit fiber optical connection minimum for anything I can think of.
I don't know about any of you but I play my games at 1920x1200 with a minimum frame rate of 60 fps, but usually vsynced to the monitor's 85Hz refreshrate.
I'm sorry, I just don't see how this could possibly work on a large scale unless they've found the holy grail of compression algorithms, allowing them to compress gigabytes into kilobytes.
The amount of data (compression + slight quality reduction to get to the required level) needed to be sent isn't really the problem it's the lag that'll most likely kill it.