This has been an idea since UNCOL was discussed as idea back in 1958.

https://en.wikipedia.org/wiki/UNCOL

There are countless bytecode based platforms since 1958, including all famous Xerox PARC systems (the CPUs were microcoded and loaded the related translation code on boot), yet WASM is doing it first keeps being brought up.

Do you know what I call WASI containers running on a Kubernetes cluster, or serverless cloud vendors?

Application Server, https://en.wikipedia.org/wiki/Application_server

Multi-tenancy on the JVM makes me shudder, though. The general point you're making, thumbs up to that.