Been done, it sucked apparently, and not suprising since writing a novel of the game in the first place completely misses the point.
Computer games ARE the 'ultimate' storytelling medium, where you can both tell a story AND let the user interact with that story in the way that THEY want to. But it's also such a young medium that bearly anyone is even starting to use it right. For example, I KNOW my parents would apperesiate almost every aspect of planespace, and I even asked them directly 'if you were to take one of your favorate stories and put in an element of 'interaction' could you deny the boon to immersion and overall experiance'. They could not deny that the statement was true, and yet, that's not what stops them 'playing computer games', and this is similar to why computer games are so 'under appresiated'. This 'under appresiation' isn't unfair either given the current trends the most popular computer games follow.