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Likely because it's mainly written in PHP and the default database is SQLite, which is not great for large deployments.
But I use Nextcloud daily on a low end machine and I don't think it's that bad.
SQLite sure but I doubt PHP has any negative impact.
PHP for sure can have a negative effect depending on how they are handling their data access through.
The application code itself running on PHP probably isn't a problem but the influence that PHP may have over your data access patterns can be a source of significant performance problems.
Let me rephrase that for you: the influence that poorly written PHP code, an utter and total disregard for good software development practices and the general ineptitude shown by the NC developers have over your data access patterns is the source of significant performance problems. We also have to consider all the client side issues, poor decisions and a general lack of any testing.
Fixed :)