Ok, just as an example. Imagine a multiplayer FPS today with an AI sniper laying in wait for a number of folks all around the map. Today, each instance has to host it's own AI for the sniper, and it has to be completely synced and completely predictable. In a future game of this type, the sniper can be hosted in the cloud, with hugely superior AI, randomness, learning, etc. and the only things you need to keep synced are player positions, and who the sniper fires on. Low bandwidth, latency tolerant, and it allows you to have unlimited AI actors in a multiplayer game without the nightmares this used to be, and with almost zero processing cost for the console.