Deathreus

If my theory is viable yes.

If it is not chances are very slim it will get removed. They do have plans to expand it with optimization before release. And allow up to 8 players on a Non dedicated server.

 I have a Theory on how to remove the host tether

Making smaller rendering  zones but keep communication  between  host and client and tie the rendering zones to each player say for 2 players a 100m2 render zone for each person.

That is half of the 200m2 zone combined for 2 people allowing for the distant communication  without over stressing the host's xbox. 75m2 for 3 and 4 people and with optimization  that can increase 

As players would prefer a smaller view range over a tether.