This is NOT TRUE,The RS drama had nothing to do with Lag Switching. Lag switching is not possible in Star Citizen.
I watched a video from a network guy explaining options CIG could have used for improving the communication technology (I can't find it and it's driving me nuts) including halving the refresh rate speed of the connections to improve lag issues. The way the servers works as a center of communication, you can DELAY your responses to the server which update where your location has changed to. That is what the "benefit" of lag switching is. To delay your response and get your opponent's response earlier. Pro gamers, with 144hz, have a huge advantage over a gamer with only 60hz response time to game off of, this same concept applies to why people lag switch. Lag switching, or delaying your response to server, is a real thing and is possible AFAIK in nearly every game including those with dedicated hosting. Which is what Star Citizen essentially is, servers HOST the player interaction. And you can increase your response times to maybe something like 500ms+ on all dedicated hosts unless they're programed to deal with that. This is all to best of my memory of how these things work.
@Karab I think you're way more knowledgeable about server tech, could you weigh in please?