Has cloud computing improved gaming?

i'm doing secondary research on 'how has cloud computing changed gaming?'. I would like public opinions and thoughts on this. Also it would be great if you can tell me what has cloud gaming improved in gaming.Has cloud computing improved gaming?
FarmVille, one of the most popular games (70+ million active users a month) on Facebook is hosted on Amazon EC2 Cloud. I doubt if such a large no. of hits could survive on a traditional data center :-) Now if the number of active users decreases the FarmVille (a product of Zynga) can Scale-Down the number of servers in minutes. If they require more servers they can spin them i.e. Scale-Up easily.Has cloud computing improved gaming?
If you want to do secondary research, wouldn't that be taking information from say, books and peer reviewed journal articles?

Primary research is when you ask questions and do surveys to get your own data:)
So you got the 2 mixed up.

To answer your question:

Cloud computing is necessary for a lot of online games -- take MMORPG's for example, a lot of work is done server side to ensure that players' statistics and save data is stored online and is accessible globally.

It also ensures that people do not cheat in game, hack or duplicate their accounts.
Benefits for game developers include more revenue and they can also rollout updates in a more streamline fashion, so the game has more quality overall.

Steam is also a cloud-based game delivery platform. Same goes with Xbox Live, Playstation Network, and EA Origin. So cloud computing not only gives you multiplayer gaming services it also serves as a digital delivery system -- people purchase and own games online.