This doesn't show you anything useful nor is it clear what it is for. I've seen it almost empty, but I had 2ms ping to Bungie's activity host. With this being a peer-to-peer game, it is important to know my actual latency values to other players too.

So how would they show you 11 bars? The biggest issue is non regional mm, players from 3-4-5 continents in every lobby, pings through the roof, too much going on, always tonnes of players on WiFi/poor net, who get the advantage bcoz of how damage works

They would render the bar next to the player name in the scoreboard and on their roster entry. It doesn't matter where they are from or their connection method. What is important is knowing what the latency is to better understand why certain things happen in the game so you can take action accordingly. That could be reporting them for poor connection/connection manipulation, leaving the lobby, or avoiding engagement with people in PvP. In PvE, you could use the data to try to switch around the leader to improve performance or to know if you should wait to raid or do something until there is less latency. This feature has been in games for 20 years, if not longer.