Earlier quoted context omitted.
They are much less frequent, and at the very least you have full access to the hardware to debug if needed. Can you get me access to the AWS control plane's logs so I can understand why my RDS instance is stuck in "modifying" for 12+ hours?
AWS has over a decade of experience and a ton of full-time dev ops to make complicated cloud usage easy. You're not going to beat the reliability by going inhouse.
OP was talking about observability and diagnosability. These will be infinitely better/easier with access to the hardware & OS.
But on reliability, if you keep your stack simple and boring, you can pretty easily also beat them on reliability. Complexity is the top enemy of reliability (and security).