Those aren't dedicated servers. They use a hypervisor [0].
But not my specialty.
The Nitro card encapsulates packets from your machine so that they flow on the AWS network correctly, it emulates being an SSD, and it takes care of myriad other peripherals and interfaces that you might expect to have.
I think it also has a direct connection to the BMC or uses IPMI to reboot the machine when you are done with it (and another user takes it).