Well, if with your best technology you can pack B bits of information in 1 m^3 of space, and you need to store N bits of information, you are going to need (N/B) m^3 of space to store it. And then the speed of light limits you to around (N/B)^(1/3)/c seconds of latency to get to the farthest bits.

(This ultimately violates the Bekenstein bound - as your server cube grows it will eventually collapse into a black hole - but this is not really a concern with forseeable technology! More practically, though, Earth's gravity makes it hard to build very high in the air, which limits you to O(N^1/2), and things like cooling and maintenance access probably impose a limit somewhere in between.)

Makes sense, thanks.

Imagine your bits stored in a sphere around your CPU. Take into account the time light needs to reach the bit you want to touch.