HDMI/DP -> USB-C video embedding software

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I'm trying to find some software that would allow me to plug in one PC into another and have the video signal displayed as a window. PC1 being the main PC and PC2 (hdmi/dp out) connected to PC1 (usb-c in) so that PC2's video is displayed as a window in PC1, potentially allowing me to maximize it and use PC1's monitor as PC2's monitor.

Ideally, I want PC2 to not realize it participates in some strange setup and think that it's plugged into normal monitor (by PC1 detecting it's connected to hdmi/dp output and "pretending" to be a monitor thru USB-C or smth)

I assume It should even be possible to support 4k@60Hz and above if the video signal rendering in PC1 is done by GPU, so in theory it can be a legit software monitor thing. The only related question I found is this one, but it's an old one and about usbc to usbc.

Is there any software that does that? If there isn't, what are the keywords I gotta search for to write it myself? I've got like 15 years of programming experience, but none of the low-level video rendering related stuff, so I'm completely lost.

A scheme of what I'm talking about: mad skillz scheme

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