Related from December:
37Signals Left the Cloud
https://news.ycombinator.com/item?id=38705886
Leaving the Cloud: Cloud Computing Isn't for Everyone
It's really hard to build a system for the cloud that can run on bare metal unless you make that a goal of the project.
That can be a hard goal to sell to business. Especially when it requires more head count.
As DHH himself says here: The cloud allows flexibility, which is essential when you are figuring out what you are doing, as in a startup. If you are large and stable and know what you want, then yes, you can go on-prem. But note that the cloud providers will negotiate significant discounts for large customers.
How do you factor in two 9s versus seven 9s of uptime?
So the cloud is slow, expensive, complex and inflexible.
Better to run your own machines.