This is PR - pushed by MS obviously - to try and get people to see the "benefits" of being always online. And it's a load of horseshit. Even on DSL whenever I connected to anything online for MS' network my ping as always 150-250ms. So how the fuck is their cloud going to help my game with that sort of latency? Those cockbags may not be lying outright but they're certainly being disingenuous by not telling the whole truth.
"During times of universal deceit telling the truth is a revolutionary act."