That's not how orbits work.
You're not understanding the proposal. The way the "hovering" would work, is that the entire state of one virtual server would be serialized, then sent via line-of-sight high bandwidth comms to the next satellite to go over the region of interest. This way, the entire application's server cluster could incrementally migrate to remain over one geographic area, but do so at a much lower altitude than geosynchronous orbit.