Pretty much title. It is annoying when you are playing some online co-op game (where time matters) and you cannot pause it. Server pause option would amazing in case you have to deal something in real life. I found this issue annoying in Peak and most farming games.
Stardew Valley has this to pause game in online and I hope more games would add this option.
Like any other game mechanic, there are times it makes sense to have it as an option, and times it doesn’t. If it’s a 100% PvE cooperative game you’re playing with a close friend you know well, sure; why not? Let either player pause the game for everyone. At least some of Hazelight Studios’ games feature this (A Way Out, It Takes Two, Split Fiction).
But for competitive fighting games or ones with many players, it could be abused, or just be too annoying to enable. Maybe in the latter type an in-game voting system where everyone has to agree to pause the action?