Even if it worked for some games and users - this still demonstrates the fatal flaw of cloud gaming. Total vendor lock in and no user control.
If they decide one day to fuck you over, there is nothing you can do about it.
If they decide one day to fuck you over, there is nothing you can do about it.
If Sony and MSFT decide to go down this route and it's the only way to play blockbuster games, it'll happen whether we like it or not because the market cares far more about playing the latest game than it does maintaining control over its own destiny so to speak. Very few consumers will eschew the Latest Thing and just happily play older games on their own PC (or console) to make a point to the publishers.
You'll note that all those things are still there, and their competitors are either not there or not significantly bolstered by people disgruntled by those changes.
And making media subscription more expensive will just push more people to piracy, so they will just loose money due to their greed.
Maybe, or maybe it'll live a giant gap waiting to be filled in by a new competitor in the console market.