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Why do you think this is a centralised/cloud IDE? It still runs on your machine. But the architecture it's built on means that it can run anywhere. A similar architecture to VS Code where you can deploy the VS Code server in a docker container or a remote server and run the UI on your PC. You can still run the entire thing on your PC if you wish. So long as they never remove the ability to run locally (they would be…
Being old enough to have used thin terminals, they aren't insane, plenty of industries don't allow for local development.
But you would want to bring your thin-and-light machine with a remote ide session to that machine.