I'm assuming dev teams that are responsible for deploying, observing, and maintaining microservices (which obviates the discussion about shared services). For cloud the physical servers/infrastructure is managed by AWS/GCP/Azure; for on-prem k8s the infrastructure team (what older devs used to call "sysadmins") provide the hardware onto which to deploy our convoluted microservices.
It pushes all the complexity to the interfaces between teams (what used to be a unit test in a monolith becomes a continuous manual operations task), so that no one is empowered to or responsible for making the application work properly.
Then, it explicitly eliminates the teams and mechanisms that used to manage the complexity of budgeting hardware, forecasting demand, etc, which kills margins and also somehow simultaneously forces developers into unexpected load shedding exercises caused by hardware shortage, leading to roadmap slippage and team churn.
On top of that, it ensures that production issues will be harder to debug because the infrastructure team has no visibility into the application, and the development / ops teams have no visibility into underlying hardware issues.
Thankfully, many smaller/growing companies are explicitly rejecting most of this nonsense (since they wouldn’t be able to succeed otherwise).