well, eventually yeah i'm sure cloud rendering will make desktops obselete, but are we there yet? I can't imagine the latency is low enough to be acceptable to a gamer with high expectations.
For some crowds? and there will be categories of games that will be fine with it.
But I couldn't even stream classic megaman over the PS4 streaming service because of input lag. Hell, I'm not even satisfied with the in-home streaming off of Steam (granted, a wireless connection was involved).
But as connections improve, this is inevitable.