Don't get me wrong, I get the platform - as a software engineer. As a business owner - I even get all the benefits - elasticity, reliability, scalability, flexibility and all the other
See, a regular VPS also runs "virtually" - just like the cloud. It's isolated from the host-machine failures - just like the cloud. The latest VPS-software (say, vSphere) can even do load-balancing, shadowing and real-time switching between physical hosts in case of a hardware failure - just like the cloud.
So, what's the difference then?