You are trying to communicate a wonderful message with an extreme amount of vision to people who sling code and do devops all day. What many of them may hear is you are asking them to do a bunch of work. But if you think 10-20 years in the future, your server was running something like a Phoenix type environment, then scaling wouldn't be as much of an issue. There are ways that updates and other problems can be abstracted away in a non-cloud environment. There are ways of running lean technologies on commodity hardware for servers.

The bottleneck I see is bandwidth and government regulation of the electromagnetic spectrum. If Amit Pai gets his way then what you are talking about will be much more difficult.