“From a simulation standpoint New World is entirely server based. At a high level the model is this: clients dispatch controller inputs to the server, and the server then checks that input for limits that might invalidate it, then if accepted uses it as an input to a character (‘actor’ is our internal name) within server memory. Physics and game rules are then run (entirely server side), and the outcome is sent back to the original client. Clients will then draw the outcome determined by the server.”

Content retrieved from: https://massivelyop.com/2021/10/30/new-world-explains-how-it-handles-server-and-client-authority-as-players-agitate-for-pvp-servers/.