During a presentation at GDC China (via Gamasutra), Microsoft executive Brian Prince hinted that the Xbox 360 will receive new features that utilize cloud computing technologies.
"You will be seeing things in the Xbox platform that's cloud-specific," Price noted. "I'm already doing it, it's really exciting, but I can't tell you about it or else I'll get fired."
Microsoft has already announced plans to move save games into the cloud as part of the next update, allowing you to access your saves from any 360 console. Judging by Price's comments, something a lot more ambitious is on the way.
Price also mentioned Onlive and Gaikai, two services that allow users to stream full games over the Internet, allowing even the weakest computers to play titles with cutting edge graphics. "These are really gaming platforms as a service," Price commented. "There are some limitations here, but I really do think this is the distant future of gaming in the cloud."
Those limitations, Price says, are that those services don't offer much space to smaller independent titles, and they're too reliant on high speed Internet access. Whether Microsoft intends to solve those problems with its unannounced plans for the Xbox or attempt something else entirely remains to be seen.