A funny little thing to note about the complaints about War Games: Reach actually started the smallest notions of virtualization of the multiplayer spaces. If you look quickly at someone spawning, they seem to have a bit of a "rez" effect when coming into the level. This is also corroborated by the Legendary Edition to an extent, which deigns the Reach disc to be a "comprehensive simulation" of the events at Reach with in-universe flavor text.
War Games was a bad idea for a variety of other reasons, but I don't think bringing multiplayer deeper into the fold of the narrative was one of them. The tangential bits were already there in how Bungie approached each map they made as a location in the universe. Namely, I feel it needed to do a bit more to feel like I was actually a Spartan training. A lot of it is very informal and weakly done. I'd like to see an interactive dorm where you could check your challenges, change your armor/loadout, do all the basic UI stuff, but in the game. BioShock 2 multiplayer did this. I'd also like to see a newsfeed akin to the Cerberus Network from Mass Effect 2, where you could read coverage of various events in the broader Halo universe.
That, and make the actual multiplayer good. But that's neither here nor there. War Games still has potential. They just have to remove the fuckery and focus on the cool.