If the storage “crashes” it doesn’t matter if it’s in the cloud or on-prem.
With the cloud you get two substantial advantages:
the storage is built so it doesn’t break so easily. I trust AWS engineers more than Mike, no matter how cool Mike is to hang out with. Additionally, if the storage breaks while Mike is on vacation we’re screwed, with the cloud you get a whole team 24/7 on it.
you can prevent data loss with backups or multi-region setups with a few clicks/terraform lines. Try telling the PO that you need to rent datacenter space in Helsinki and Singapore for redundancy…
Of course all this costs big bucks, but technically it’s superior, easier and less risky.