It would work, just not at this fidelity, it is a combination of both heavy computation and heavy I/O.
Both need to move together to reach a higher level of fidelity. You dial it back and the requirements will lessen. I'm not sure how much additional hardware feature set is required over what we have today with what they built with UE5.
You would have popups, popups everywhere, regardless of the level of fidelity most likely. Here you see none. Unless by lower fidelity you mean shockingly low quality geometry and textures.