One additional parameter to keep in mind is how real-time does your simulation of remote players need to be? If you don't need real-time positioning there's a whole other dimension of shortcuts you can take by introducing what amounts to a 'streaming delay'.
In a lot of these apps the cursors can't interact with each other so you have no need for real-time positioning and its accompanying smoothing techniques. Cheat cheat cheat! That's how games get their performance, way more often than being smart they're clever opportunistic cheaters!