We're broadly working towards a lot of what you're saying here at https://micro.mu. It's an incremental process which I fundamentally believe needs to begin with giving developers a new method of development guided by a framework. We're leaning more towards the android model of managing a complex runtime and providing the framework for developing in that environment.
We'll probably leverage cloud, edge, personal servers, mobile and any other device in the long term to move services to the user.
I share a lot of your ideas and philosophy. Shame it didn't come to fruition with sandstorm.