Kinda cool to see it in action, but I'm struggling to see a use-case.. From experience developing remotely has always been a bit hit/miss. This seems like just another way to hit/miss.
IIRC another benefit, is also that you can move performance-requirements from the local machine to the remote machine, which can be beneficial depending on your situation. Not every company/freelancer has the money for beefy workstations.
In the old days, machines were too expensive, everyone shared the UNIX development server.
Later, giving laptops/desktops to all contractors became too much of an hassle with procurement, giving them VMs was much easier for IT to manage.
Nowadays those VMs are Cloud instances.
Here is the use case.