Yes, birdy, that's right, although Wiktionary gives another use as well.
I've just googled laggy and there are lots of references. I'll copy below a little chunk of three definitions:
laggy Meaning in the Cambridge English Dictionary
https://dictionary.cambridge.org › laggy
A laggy computer, computer game, or internet connection is slow to react: Online play is really laggy on this. The laptop was laggy on some internet flash games. The camera movement in the game feels a little laggy.
laggy - Wiktionary
https://en.wiktionary.org › wiki › laggy
Having a delayed response to a change in the factors influencing it. Gasoline prices usually show a laggier response to crude-oil price reduction than to crude-oil price increases. (computing, Internet, video games, informal) Tending to lag, or respond slowly because of network latency.
laggy | Definition of laggy in English by Oxford Dictionaries
https://en.oxforddictionaries.com › laggy
Definition of laggy - (of a computer, video game, or Internet connection) slow to respond.