> In all those cases the cost of cloud was like an order of magnitude costlier.
Don't discount the value-add of your skills. Giving any of my family members a stack of bare metal servers would serve no end-purpose or web requests. Approximately zero of said servers would even end up plugged in at all, much less operationalized. My family all works in tech or similarly demanding fields. That is, the cost of "the ops team / guy" can be significant for small and medium enterprises.
Despite this, the AWS pricing margins have grown to the point of excess, and are no longer competitive, even against other major cloud players. This is strange to me because the tooling is all interoperable (e.g., Terraform/Vaggi-form), with no fatal friction or lock-in. It is a rare use-case that the latest CPU is worth paying a penny extra for compared to a 3 or 4 generation old chip. The only winner is the cloud provider because it improves their COGS ratio.
TL;DR: the top tier clouds are priced on the order of luxury goods, on par with a Bugatti or G6 jet. That is, unless you ruthlessly track and prune each expense, which costs you time and attention which could have been spent growing the business or at least non-overhead tasks. The eventuality of managing your own DIY fleet of machines is a total headache, as any given computer may work flawlessly for the next ten years or only the next 10 minutes. When it goes south, you're back to being a monkey plugging in cables and scratching your head. This sad activity is only a few people's cup of tea.
Obligatory reference to Warren G's Regulators:
"You've gotta be handy with the steel, if you know what I mean."
https://youtube.com/watch?v=hms5vmekId4
Edit: Sorry for the rambling comment, I suppose it is a more complex topic than I realized prior to crafting the words above.