In the early days of cloud service providers, they offered a handful of high-value services, all at great prices, making them cost-competitive with bare metal but much easier. That was then . Things today are different. As cloud service providers have grown to become dominant, they now offer a vast, complicated tangle of services, microservices, control panels, etc., at prices that can spiral out of control if you ar…
That was never the case for AWS, the point was never "We're cheap" but "We let you scale faster for a premium".
I first came across cloud services around 2010-2011 I think, when the company I worked at at the time started growing and we needed something better than shared hosting. AWS was brought up as a "fresh but expensive" alternative, and the CTO managed to convince the management that we needed AWS even if it was expensive, because it'll be a lot easier to tear up/down servers as we need it. Bandwidth costs I think was the most expensive part of the package, at least back then.
When I look at what performance per $ you get with AWS et al today, it looks the same, incredibly expensive for the performance you (don't) get. Better off with dedicated instances unless you team is lacking the basic skills of server management, or until the company really grown so it keeps being difficult dealing with the infrastructure, then hire a dedicated person and let them make the calls for what's next.