It doesn't solve the problem, in fact, it limits your options. And I may be wrong but x264 doesn't seem to have the lowest latency codecs. There are essentiall

It doesn't solve the problem, in fact, it limits your options. And I may be wrong but x264 doesn't seem to have the lowest latency codecs. There are essentially two ways of dealing with latency : input lag (wait until we know everything before showing player actions) and prediction/rollback (respond immediately trying to guess what we don't know yet and fix it later, what is shown in the article). Games often do a mix of both, like a bit of input lag for stability and prediction to deal with latency spikes. With video streaming, you limit your prediction options.