Why does playing from my local xbox in remote play lags?

This has less to do with the streaming capabilities of the Series X and more to do with the fact that even when using remote play locally the Xbox is routing traffic through the Azure datacenters which makes absolutely no sense.

If you don't believe me go use remote play on an Xbox One X and it does not have this issue when using remote play locally.

All my consoles are LAN and my PS5 has no issues outputting a 1080/60fps stream locally.

It is a glaring issue that has been raised across a number of different forums online and it makes no sense.

Has less to do with folks internet setups and more to do with bad decision making from MS

"Not to mention the fact that the other Halo games have lagged online just as badly as Halo 4".

In my experience there was hardly any lag in H3, and I played it quite a lot. H4, almost every game has lag to some degree. The problem is there is no local search function. I was playing yesterday and looked at some people in my games gamer profiles. They
were from UK, france, south africa.......no wonder it lags so much!! Why can't I search for local games?? Not really a step forward removing that function.

NAT type is open and again this is going over my local network, it is not cloud gaming or remote play. Unfortunately I do not have another internet connection to try. I should mention that I am a Cisco engineer and I have examined my LAN and done speed tests from my PC to router, Xbox one X does not have anything that will allow my to test the local network connection from Xbox to router.

Why even have remote play then? Isn’t that kind of a terrible feature? If you need to be in the same location as your Xbox to get it to work, why not just play on your console? Shouldn’t the point of remote play to be able to play on the go when you’re away from your home?

Do you play against people in the states a lot, what about people local to you does it lag then also?