I suggest you read up on peer-to-peer online gaming, TCP/IP communication and infrastructure. Then you realize this thread comments are hilariously stupid (Final Scentence's post above excluded). End of story. So, YES I lag on Halo4 online. Just about everyone does with a population count as low as is now.
Distance to host equals lag. Long distance equals MORE, no matter WHAT bandwidth, good local lan/close area connect, or provider infrastucture you have, or are traveling through (which in case of sub par, only could worsen things, lik FS explained above).
OK. Now go get more players into matchmaking. Preferably on a dispersed global scale. Then you'll "solve lag issues".