[Spooky23]

Margins are high because it's expensive. Cloud is in a big growth curve because it operationalizes capital spend and time to market (key for startups) and they have amazing software stacks which let you dump legacy people and costs.

But once you are there and make the cloud/devops process part of your DNA, you may find that it isn't the optimal place to live from a cost perspective. I moved a workload from a big cloud provider to a private datacenter recently and reduced the costs on an annual basis by like 60%. We did need to make a big capital investment.