(this is a question disguised as a statement, since I'm interested in your opinion)
Poorly managed old managed setups also probabl burned a lot of more experienced people. E.g. if you had to fill in stupid forms and request a server weeks ahead, odds are cloud equals freedom in your mind, even though a well run infra setup could offer you to spin up container workloads and leave dealing with adding capacity as a background concern developers don't need to think about.
Personally, I recall well the time I had to call in to Yahoo's hardware review board, chaired by one of the founders (Filo) because the billing system I managed, which handled millions of dollars worth of transactions, needed a new database server - priced around $10k. There were at least a dozen senior people on that call.
If that was your experience of colo/managed servers/on prem, it's not unsurprising if you value cloud services far higher than their costs for the sake of avoiding that bureaucracy.
I'm working on tooling that I hope will change that, by making compute and storage on cheaper managed providers vs. cloud providers fungible commodities, but it's a hard problem.