It's been tried with stadia, but we aren't there yet with infrastructure.
And the relevant infrastructure is exactly what Google is the nearest use-case for, hence completing searches in fractions of a second.
I did mention internet speeds increasing. Theyll need to substantially increase.
Latency reduction at this point is mostly about signal processing clockspeed, motherboard bottlenecks, and
directness of the physical wires. And there's so few cases that it's critical that there's no
money in it.
Also, You'd likely pay a subscription to utilize the hardware, so it would likely be making them money constantly.
You need to overhaul the infrastructure before you publish the game that needs it,
especially given how the giant franchises with any chance at supporting the expense rely on userbase size for matchmaking.
This is probably the direction most computing is headed.
It's fundamentally incompatible with the
large scale infrastructure of the Internet because there is no current application for such an arrangement, so
the wires have not been run. This is not something the game companies can do, this is for the low-level internet service providers that own the hardware the signal travels on, who have no reason to do it because latency is satisfactory for the incredibly vast majority of traffic.