If something like this was in widespread use it would have much more impact since countries would see whole swathes of the internet immediately go dark when they make stupid laws.
To your point about the proposed service, isn’t that what cloud providers basically already do in rudimentary ways or could do with finer grain regions?
Also, it seems the internet/WWW is basically being snuffed out right before our eyes as governments start using all manner of specious arguments to censor and control adults… for the children… of course. You as an adult are not allowed to have your rights because children may be harmed if you have your rights. “ No, no, we can’t keep the children from engaging in things that we deem harms them, your rights have to be relinquished instead.”