This chapter talks about the architecture required for cloud gaming and various challenges in cloud based gaming. The first part gives a brief introduction about what is actually cloud gaming and the ways in which it is implemented. The subsequent section talks about the cloud gaming system architecture and different server, client components of cloud gaming frameworks involved in the whole process. The next section talks about various cloud based services and their system architecture. In this chapter main aspect is the server client architecture and data flow models via this architecture. A comparative study has been made among various service providers to have a better understanding of the architecture deployed by them in cloud based gaming. The next section discusses about the Challenges of Cloud based Gaming. The future and new improvisations of the Cloud based Gaming System has also been taken up in this chapter.