Earlier quoted context omitted.
The HSMs themselves are single-tenant. ( https://aws.amazon.com/cloudhsm/#details )
Right. So why wouldn't I just pay the upfront fee and colo it myself without having to pay Amazon the upfront fee and the recurring hourly charge? Sure, you could argue I would have to pay to colo it somewhere else, but if I'm an org that requires an HSM appliance I more than likely already have my own colo space somewhere. Compliance should also be much easier when I say, "The box is right here, these are the employ…
you're assuming that the upfront fee is either more than the cost of the hsm or the cost of the hsm.