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That is how people reason about it but we could argue it is the balance between who pays for the hardware and who pays for the software.

I.O.W., If you have a program with millions of users you make something that performs well enough for people to pay for it. While each cpu cycle wasted then becomes millions of cycles, you never get billed for those it doesn't matter to you.

I wonder if an eco system is possible where software providers have to pay for ALL resources consumed. It sounds ridiculous but having any transaction going on would make monetizing software a lot easier.

It would for the most part boil down to billing the end user for the data stored, the cpu cycles and the bandwidth consumed. A perfectly competitive vehicle. Want to invest in growing your user base? Pay part of their fees and undercut the competition.

It would make it more logical if they didn't own the device. The hardware can scale with usage. You just replace the desktop, console or phone with one better fit for their consumption.