Don't forget region crossing lag with the 80-100ms intercontinental delay added for each and every packet/acknowledgement that needs to move over.

You may have one region in Europe the one east in CA and the one North in CO. The obvious problem is that moving in any direction would require a handoff of all state data over international pipes with this associated added time, the other is that just being a child agent (looking into another sim) requires all that data to be sent and refreshed, once more with international lag.

I think you will find the problems seen in OpenSim with geographically disparate computers will become obvious on a greater scale.

Hmmm, Imagine this though... What if, as part of providing the new AO continent they have decided to move all regions in that grouping from the morally fearful USA with all it's puritanical laws into not London (which would require pretty serious data logging) but somewhere like Sweden.

With all of SL's currently degraded pr0n being moved the new AO continent (Think Dulcett, Gor, Beastiality, Ero Guro, etc) hosting it in a state that had less strict laws and privacy provisions like Sweden would make quite a bit of sense.

Sigh, just a dream.