Right now I run a SaaS platform entirely in the cloud. I am fully aware I am paying more for a managed Postgres cluster versus spinning one up myself and I'm paying more for a managed docker service than I would if I just spun up some EC2's myself or went for a VPS.
But right now I'm also working on the project entirely solo so I have to be careful about what I commit my time to. Sure I could save some $$$ by managing my own infra but the time it would take to spin that up and maintain it will cut into the time I have to build new features for my app. I could hire a contractor to help me maintain that infra but then it goes from being the cheapest option to the most expensive option because I'm paying someone to help with it.
The cloud isn't cheaper than running your own infra, but it's sure as hell cheaper than running your own infra + paying someone to help you run it. Down the road when (hopefully) my company has more scale and we have dedicated folks for infrastructure, then I can start looking into lowering costs on the cloud side because those infra folks are gonna be working for me regardless of where I run the app, but for now when it's between doing it myself and hiring someone to help me, the value prop of a managed service is undeniable.