Last week we reported on rumors that Sony was attempting to strike a deal with OnLive or Gaikai to introduce cloud gaming to the PlayStation 3 and possibly even to the Vita. According to sources close to GamesIndustry International, it looks like Sony will indeed be featuring the service for its current crop of hardware.

With cloud gaming comes the possibility of backward compatibility for the PlayStation 3. Currently, the PlayStation 3 Slim doesn’t offer backward compatibility with PlayStation 2 games, but as is apparent with all of the HD collections we’ve seen in recent memory, the market for older titles is certainly strong.

The rumored deal currently pertains mostly to first-party titles, but the door is wide open for third-party developers to bring their content to the cloud gaming service. With E3 just a few days away, we can probably expect to learn more about this partnership between Sony and Gaikai soon.

So is this something that people want? Does the idea of streaming PlayStation and PlayStation 2 games on current hardware sound appealing? Personally, I think there could be a market for it, but what interests me the most is the prospect of being able to play classic PlayStation and PlayStation 2 games on the Vita.

Follow this author on Twitter.