This is really getting silly now,
Graphics processing is a very time sensitive thing, the only thing cloud processing is good for is putting things that would normally take up cpu time, that AREN'T time sensitive, into a packaged job for the server to do, then receive it back for use, offloading the process of the ai and freeing up a little resource usage for the console to use for graphics rendering.
that said though.
graphics processing is primarily done on the GPU, the GPU has an extremely low number of processes and tasks that can be considered low enough priority to be rendered externally then passed back to the console for use, CPU processing has an increasingly small effect on overall graphics capability as we can see from games that are done primarily on the GPU, with the next generation of consoles being closer than any console has to being the same sort of framework as a pc, aimed at high performance games, what happens is the CPU doesnt see much use at all beyond processing AI and physics, unless you move processes from the GPU to CPU such as shader processing - but you can do this without issue as even though theyre time critical the CPU is local and, with the newer consoles, directly linked to the GPU.
Offloading graphics processes to the cloud then, will be ultimately for processing that is not time sensitive, and such processes are very low on the priority scale, meaning they have little direct impact to the visual quality of a game, and more on things like calculating a shader for an upcoming level which may or may not even end up being used.
What you need to understand is that a lot of data passes through the cpu and gpu, a LOT of data.
offloading any meaningful amount of graphics processing to an external server would require too high a network load/speed.
Those expecting the difference between offline and online "cloud processed" games having a notable increase in framerates or visual fidelity are sorely mistaken, you're at-best going to see a very slight stabalization of framerate jumps because a few more cycles for the cpu are freed up.
It has its own caveats of course, the additional network load will directly impact network performance of internet connections that otherwise were just about good enough for network play, with lag spikes occurring as jobs are uploaded and completed jobs downloaded, of course no self respecting Microsoft rep or Xbox fan is going to cop to that.
Frankly, I hope they don't even try messing with larger pooled jobs in an attempt to boost graphics because the downsides far outweigh the benefits.
Last but not least, the cpu cycles saved in sending some jobs to an external cluster for processing does not, and never will, make up for the gap in actual hardware performance between the two, and any server side live processing for contiguous online words can, has been, and will continue to be done on game servers without the need of any particular cloud cluster.
If you want to call me out on my knowledge of the subject to say I'm wrong, I am more than happy to go through the processes of providing a moderator with my supporting credentials.
