I think they mean they'll have servers all over the world, so you will connect to the server you are nearest, but the "realms" will still be global, so for example in the same ifrit encounter if you are int he US and other player is int he EU, they'll receive he info about cracks and shit depending on the server who is nearest to them, and the latency issues will dissapear.

At least I hope it's something like that.