i don't think it's a shared VPS
it looks like a computer in the cloud, but it seems it's just serving the files and app files which execute locally (as opposed to remotely)
the UX clearly makes the brain think it's an actual computer.
With Stadia I think Google had something like this in their mind. Progressively centralizing computation and storage in data centers while the offering devices like chromebook.
Like terminals to a mainframe computer but on WAN level.
the UX clearly makes the brain think it's an actual computer.