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I think what they will try in the long term future is a new setup of graphics generation, the graphics are no longer polygons/textures but based on AI picture data that AI TMUs build an environment and characters from. For now they're going to basically price people out of physical hardware. 

Maybe only the immediately character you're controlling is rendered and a few enemies is rendered locally on your device.

That environment then is effectively "streamed" to your device allowing for what they'll term as "photorealism". If you have a bad internet connection, you'll get environmental artifacts and lag but the main gameplay should still be alright because it's rendered locally. 

But in this scenario, you no longer own the hardware yourself and have to pay essentially for GPU/TMU usage.

Purists will probably have a shit fit, but it will allow things like smartphones even to have games that look photorealistic "enough".