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> The network infrastructure to do that is just about there.

There's a long way to go from having enough bandwidth to serve your personal blog or small-time web app out of your {apartment, house, office} to getting what you'd need for a large-scale web app (at a minimum, redundant 100 Mbps fiber connections with five-nines SLAs) routed there. That and getting a nominal 100 Mbps connection from your friendly neighborhood telco is a lot different from getting a 100 Mbps connection you're expecting to saturate 24/7. The telco won't put up with that for very long, because they overcommit their subscriber bandwidth in the (correct) expectation that most of their customers will not use all of it.

"Large-scale web app", true.

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