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I think this is a pretty key point. If a business is going through any kind of rapid change, cloud providers offer a lot of off-the-shelf help for that, be it ability to scale, hosted infrastructure, or PoPs in new geographies. If the company is relatively static with easily predictable future requirements, you can get a lot more bang-for-your-buck by handling things on your own and developing your own in-house expertise.

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There is also a third approach that is the best if you have a predictible base load with surges sometimes imo: hybrid cloud

You basically run the base load in your own data center and the surges go to the cloud. My university is evaluating this because sometimes you have multiple labs that need a lot of compute resources at the same time and local compute cluster has finite capacity.

Time to market and avoiding NRE is great. Margin doesn't matter in the beginning.

But hopefully you don't get trapped in the cloud and can claw the margin back.

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