I doubt that even with the best hardware available in the world without any shortages that the situation with the lobby errors would improve significantly.
When you are on a world you are moving around, you are emoting, sharing all your hot takes in town with everyone that doesn't want to know it, sorting through you giant inventory, swapping glams, spamming all your actions in a duty. All of the things you do have to be sent, processed, and then sent to everyone in your vicinity, likewise you receive everything they do too. There is a lot going on and it's reasonable that there will be a capacity problem any way they go about it. Sure they'll need more hardware for that.
When you join a queue you are ... idling. There is nothing going on, no communication between players, nothing. The lobby updates your position every so often, logs a few people in, accepts new people to the back of the queue. How responsive does it really need to be? You live in a world where you use countless apps that take their sweet time to serve hundreds or thousands if not millions of people at once without shutting down the app, it just gets slower. Somehow throwing more hardware at the problem is the only thing that can solve this....... An interesting conclusion to say the least.
