No, you misunderstand me. My dream infrastructure would run IPv6 with publicly routable IP addresses for the internal network, for everything.
IPv4 is needed only for the external IPv4 clients, and for the server code to reach any external resources that are IPv4-only. The clients are simply going to connect via the border load balancers, just as usual.
For the external IPv4-only resources, you'll need to use DNS64. But this is not any different from the status quo. Regular K8s nodes can only reach external resources through NAT anyway.
I'm actually trialing this infrastructure for my current company. We got an IPv6 assignment from ARIN, so we can use consistent blocks in US West and US East locations. We don't use K8s, though. AWS ECS works pretty great for us right now.
> Btw, overlay is not the only option to do CNI - Calico, Cilium and few others can do it via l3 by integrating with your equipment. Even possible in cloud but has serious scale limitations...
It's still an overlay network, just in hardware.