Well then I'm a little confused. You wrote this earlier which contradicted my post:
> Managing infrastructure is doesn’t provide a competitive advantage unless you’re something like Backblaze, DropBox or another company where your entire reason for existing is your infrastructure expertise.
You don't need to be a company "where your entire reason for existing is your infrastructure expertise" in order for managing your own infrastructure to be a competitive advantage. Managing (some of) your own infrastructure can be a competitive advantage even managing infrastructure is not your core competency or even your goal. It is a competitive advantage of the TOC is lower. It sometimes is.
But if you're now saying you agree with my statement, then I guess well we're in agreement.
I literally just gave examples where a colo or on prem makes complete sense - anytime that managing infrastructure is a competitive advantage.
If you have a static workload and your company has the competencies to manage infrastructure, go for on prem.
I’m the last person to recommend someone move to any cloud provider just to treat it like a colo.