Meanwhile I've had bare metal be a complete outage for over a day because a backhoe decided it wanted to eat the fiber line into our building. All I could do was twiddle my thumbs because we were stuck waiting on another company to fix that.

Could we have had an offsite location to fail over to? From a technical perspective, sure. Same as you could go multi-region or multi-cloud or turn on some servers at hetzner or whatever. There's nothing better or worse about the cloud here - you always have the ability to design with resilience for whatever happens short of the internet on the whole breaking somehow.