You can't use interpolation to compensate for late packets. Interpolation is generating data between two data points that you have. You are talking about extra

You can't use interpolation to compensate for late packets. Interpolation is generating data between two data points that you have. You are talking about extrapolation which is the prediction of future data from previous data points. Once again, First Person Shooter games will tend to do extrapolation, but few games of other genres do that kind of thing.