That's wishful thinking.
If there's state in that virtual machine, it's probably either stored on the physical host or in a SAN. If it's in the physical host, it has to be fished out of that machine or restored from a backup. If it's a SAN, you can lose your virtual machine if the SAN goes down.
I've seen both happen.
Actually, a single machine with RAID is surprisingly stable. A provider like Hetzner can switch out a faulty disk in less than five minutes, or switch a faulty motherboard/power supply in less than half an hour.
Virtualization on top of this does not increase stability, in my experience.
Now, some cloud providers do have more sophisticated distributed systems that do not have single points of failure, and that's a completely different story.
Of course, the software itself is a source of correlated failures, so even there you should never rely on a single cloud vendor.
There's a poster here on this site who commented some months ago that he had for years rented three servers, each on a different continent, each from a different provider, and never had downtime. That's engineering.