Never in my life did I want to scale my dev. environment vertically or horizontally or in any other direction. Unless you work on a calculator, I don't know why would you need that.
I have no problems with my environment stopping when I close my laptop. Why is this a problem for anyone?
For overwhelming majority of programming projects out there they fit on a programmer's laptop just fine. The rare exceptions are the projects which require very specialized equipment not available to the developers. In any case, a simulator would be usually a preferable way to dealing with this, and the actual equipment would be only accessed for testing, not for development. Definitely not as a routine development process.
Never in my life did I want development process to be centralized. All developers have different habits, tastes and preferences. Last thing I want is to have centralized management of all environments which would create unwanted uniformity. I've been only once in a company that tried to institute a centrally-managed development environment in the way you describe, and I just couldn't cope with it. I quit after few month of misery. The most upsetting aspect about these efforts is stupidity. These efforts solve no problems, but add a lot of pain that is felt continuously, all the time you have to do anything work-related.