Facebook used to do basically that - they gave you a $1000/month stipend if you lived within 5 miles of the office. A lot of other companies do it in more informal ways too, eg. I've heard of companies turning down applicants because they lived an hour and a half commute away from the office.
It has some mixed results. It's very positive for traffic and for climate change - if everyone goes from a 30 mile commute to a 5 mile one, that's 6x fewer vehicle miles traveled, 6x less car CO2 emissions, and 6x less traffic. But it also drives up rents around the office to crazy-high levels. Facebook's policy basically just boosted rents in Palo Alto by $1000/month (when they were there), and then it and the office location was single-handedly responsible for the gentrification of East Palo Alto (after they moved).
If I were to commute to my companies nearest office it’s about 1h20 or 60 miles.
Let’s assume I moved to near that office and lived in a high density area away from nature and dark skies. What does my wife do, who now faces an 80 mile commute the other way?
That's just what it boils down to: Add kids to the mix and you'll have them change schools (and their entire social circle) every time you do a career change - to earn more, to do something more interesting, or because you're simply forced to.
For anyone but singles, co-located work seems anachronistic. Worked back in the day were only one person in the family had a job, and jobs were held for decades (not years) I suppose. Today it seems ludicrous to expect anyone to move for work.
Which naturally leads into either long commutes or remote work. Having built several remote-first companies, I'm gonna say it's not perfect, but it really works.
It has some mixed results. It's very positive for traffic and for climate change - if everyone goes from a 30 mile commute to a 5 mile one, that's 6x fewer vehicle miles traveled, 6x less car CO2 emissions, and 6x less traffic. But it also drives up rents around the office to crazy-high levels. Facebook's policy basically just boosted rents in Palo Alto by $1000/month (when they were there), and then it and the office location was single-handedly responsible for the gentrification of East Palo Alto (after they moved).