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Ever keen on making new subscription services and future-proofing its engagement strategy, Microsoft's new Project xCloud will essentially let players turn their smartphones into a portable Xbox One for on-the-go gaming.

"The idea of streaming such graphically rich content that requires near-instant interaction between the game controller and the graphics on the screen poses a number of challenges", a Google blog enthused.

Microsoft is now testing Project xCloud with phones and tablets using Xbox Wireless Controllers through Bluetooth.

It is also working with advanced networking technologies like 5G and Microsoft's own Azure network worldwide to ensure latency will be an issue of the past. Now, the company has lifted the lid on its service, which involves using custom-built Xbox "blade" hardware in datacenters across Azure regions to stream Xbox One games to various devices.

Public trials for xCloud begin next year, at which point we'll hear more about it.

Scaling and building out Project xCloud is a multi-year journey for us.

The first tests are being run now on mobile phones and tablets paired with an Xbox Wireless Controller through Bluetooth.

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Game streaming may end up being an essential part of gaming moving forward as gamers drop the need for physical games and systems.

Of course, as ever with these sort of services, the result will not just depend on Microsoft's technology, network and data centers, but also the user's connection.

Microsoft is talking up the future of gaming, and it says in that future you will be able to play any game you want, on any device you have at hand. According to the video caption, what we're seeing in the example video is actual gameplay footage streamed to the Android phone via Project xCloud.

"Today, the games you play are very much dictated by the device you are using".

Project xCloud is more or less what we'd expect from a Microsoft-branded game streaming platform, though there are some specific details that are particularly exciting.

'Currently, the test experience is running at 10 megabits per second. The company promises a console-like experience on all devices.

Microsoft says its goal with Project xCloud is to bring the console gaming experience to everyone.