Well a number of points.
Yes if they are clever with the compression (at the cost of greater minimum internet service requirements for users) they could reduce the artifacts I saw on other services I used. That is the easiest problem to solve without a doubt.
However............as for what Digital Spy saw at a trade show - firstly it is at a trade show so I don't trust that what was on show will be representative of real world experiences at real distances with the real load of all the users on line at the same time as well as ISP's traffic management d*cking around with your connection.
Secondly loads of journalists in this country had Xbox Ones for review purposes a number of weeks before launch and not one of them spotted that it juddered on 50hz TV broadcasts. So I am not going to get all hyped up about about the opinions of blokes that only briefly experienced something in a trade show environment.
Forget the artifacts though, the real killer is latency. Unless they are putting their data centre in my back garden, the input lag will be even worse than playing games on your TV without putting it into Game Mode.
Of course TLoU is a great game for hiding input lag as whilst I thoroughly enjoyed it I could not help agreeing with a lot of people in that the controls were pretty sluggish and unresponsive. I dare say you wouldn't notice the difference with that game. If I wanted to demonstrate cloud gaming to the public that would be the game I would pick.
Don't get me wrong, I really really really wish this stuff would work perfectly but sadly the technology isn't there to make it as responsive as saying using your Vita as a second screen on PS4. Still as I said; depends what games you play on playing on it.
