It's certainly a new term to describe something we've all known for a long time.
To pretend like Nintendo who no longer gets 3rd party support like they used to is in the same segment as Microsoft and Sony is purposefully ignorant.
Can you play CoD on Switch? Madden? Elden Ring? Cyberpunk? Jedi Survivor? Street Fighter 6?
PC is more analogous to the console market, but the methodology of buying and support is completely different from the console market. There isn't a central manufacturer of PCs, and the profits are more broken down and decentralized among multiple figures; Valve, Nvidia, AMD, Microsoft, and software developers.
Rarely are there high-profile games that are exclusive to PC aside from games developed specifically by Valve like Half-life Alyx or developed by indie developers.
Sony spent nearly half a billion dollars buying Gakai in 2012. They spent 380 million dollars which was more than they bought Insomniac for especially given inflation. They bought into the cloud but also realized that the ecosystem isn't there yet. That doesn't mean it isn't massively important. It's certainly a struggle but when the underlying technology allows it to be a thing, it completely removes the console sale from the calculation. It's an absolute game changer, which can't be ignored. Consoles struggled to get online as well, but when it did, it also changed things completely. And that was something that already had a poc in PC gaming...
Cloud is what will unlock handheld and smart tvs. Sony could very well put a PS5 chipset into a TV, but the chipset would have to become significantly smaller and easier to cool. The processors currently in smart tvs aren't anywhere close to getting the job done and that's not changing anytime soon. But it'll be the console manufacturers who unlock cloud in these areas, not TV manufacturers. Maybe Apple could be an exception there.