Take one example: The single server idea is going to suffer outages. You could at the very least have two monoliths either load balanced or in some kind of failover setup.
But, what distributing some of the components into so-called microservices would give you is a graceful failure scenario where even if all the instances of a specific component fail, the rest of the application still works. Maybe only one function stops working temporarily but most work continues on.
This doesn't mean everything must be microservice koolaid all the time all the way, but I'm sure you can conceive of that being an advantage under certain use cases that would be worth other possible trade-offs.