Mmmfishtacos on 28 September 2013
From gofreak ( a developer ) on Neogaf
These are dedicated servers.
What you're trying to put your finger on is the difference between 100% authoritative servers and partially or non authoritative servers.
Most games that use dedicated servers fall into the latter camp, as does KZ. 100% authoritative servers are not appropriate for every type of game and can introduce lag.
