Perfect is the enemy of the good. While there's an ideal case where you're hosting it on a box in your house, that's not for everybody. So while hosting it on AWS doesn't remove every dependency on big tech, at least it's not a full on Google hosted SaaS product.

I think "perfect is the enemy of good" is actually an argument against AWS integration. Using S3 as a backend is a lot more complex than using local storage so it would take a lot more time to implement, that's why local storage is good enough

Only if we look at resources it takes to implement features as limited and we're in starvation mode. With AI writing code these days, if they choose to use it, it's less about the resources to make the features and more about what having the features enables.