Cloud vs physical data

if you game save is on the cloud associated with your gamertag, when you go to load save data in the game, pick from the cloud instead of from physical memory of your console.

If you are looking to transfer your game saves you will have to put them in the cloud using Xbox Live Gold. If the Game is backwards compatible then the save will be in the cloud for your Xbox one. There is not a way to transfer the data physically.

as for physical vs virtual servers it doesnt really matter. its not like there is a set unit of computing that a physical server represents or a virtual server represents. the 300k server number is kind of meaningless and not really important.

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to me the important number was that for each x1 sold 3x the resources will be available on the cloud. that is an impressive number and easily comparable.

Before I do this will it remove all progress from games I have a physical disk copy of and if so can I transfer that data to the cloud.

First of all there is too much latency for the "cloud" to be used for player character interactions. Assume a latency of 100ms just for a round trip data stream to a server, if I'm playing an online multiplayer game assume an additional latency of 100ms.
I'm looking at 1/5 of a second from input to action; too long.

However, non latency dependent calculations can be offloaded from the console, freeing up resources for latency dependent calculations.

Take the soccer stadium someone mentioned earlier as an example. The ONE can offload the whole environment, e.g., the crowd, weather, the announcers, etc... to the cloud and the ONE just has to worry about player character models and physics.

The PS4 has to do everything (possibly)

This is how the ONE will be able to compete with the PS4s better GPU.

DDR3 vs GDDR5 isn't a concern. DDR3 better latency vs GDDR5 better bandwidth.