I think more specifically he means things like Heroku or Modulus.
Saying that, it all falls under the general trend of providing system administration as a service. Given how much ongoing effort is required to maintain secure, up to date and efficient servers, this is probably a good thing.
> most small development shops would pay a monthly fee not to have to administer the apps themselves.
and
> But would an external dev team trust some big company like Amazon with with their intellectual property?
and
> So I predict that someone will come along and offer an innovation hosting service, and make a lot of money off it.
OP had his finger on the pulse of tech, though, that much is certain.