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Doesn't this already exist in the form of Digital Ocean, Linode/Akamai, OVH, etc.?

Those are not cheap, but they do exist already yes

also hetzner

Hetzner is great for servers and storage, but it's not a "proper cloud" like AWS/GCP/Azure/Oracle/IBM.

well yea, we are talking ikea cloud. cheap but serviceable (https://www.hetzner.com/cloud)