Can I apply for a Thai Non-O visa online while being physically located outside of Thailand?

You could have applied before you came to Thailand. So if you want a Non-O you'll have to go somewhere outside of Thailand and apply.

Why would you want to submit a fraudulent visa application?

I spent 30 days in siem reap cambodia for mine which took 3 weeks. Got to know a lot about Angkor wat and khmer history. Was very relaxing. Go somewhere you havent been and enjoy the wait.

Just travel to a nearby country like Vietnam, Malaysia, or Laos, stay a few days, and apply there. As long as you’re physically in that country, you can submit your e-Visa online and get it approved electronically.

Who said you need to go to your home country? Only a very few specific visa types require you to apply from your home country. Most others can be applied for in a country neighboring Thailand.

The e-visa system doesn't check your location. It asks you for your location so it can route your application to the correct embassy. But then in the application you must also upload proof that you are physically in the location you stated. This is normally by uploading the stamp in your passport from entering that country.

The embassy can also summon you for an interview or ask you for other things to prove your location after you submit your application, so they can check that you were there when you applied and that you're still there afterwards. This might be something like all the pages of your passport, your paid hotel reservation with a letter from the management. A receipt from a local cafe, etc.

Last month someone applied for a DTV from the Thai embassy in London and received a request to attend the embassy in person with only a 2 day notice.

If you say you are somewhere and they find out you lied, your visa application will be cancelled and you will not be refunded.