Our customer have hot stand-by locally. They cannot afford to "take a break" if there is no internet connection - and being rural food processing facilities, they tend to not have the best internet connections in the first place. Funny people want to eat meat, but they don't like having slaughter houses and food processing plants slap.-bang in the middle of their industrial estate or town, where they have good internet.
The farmers are worse off, they have to electronically upload their registration data for each animal, before it can go to slaughter. One of them took nearly 2 weeks to download the 64MB installer for the registration program.
In the processing plants, the software controls the production lines and without a working server, they cannot do anything. If the conveyor or the industry specific hardware (Fat-o-Meter, AutoFOM, scales etc.) break down or stop communicating with the server or the servers go tits-up, then they have 15 to 30 minutes to get it working again, otherwise they have to start throwing carcasses away - and if it is a software problem, the software provider gets the bill for lost production.
At such facilities, you just can't rely on out-of-house facilities. You might use them for backup or for production analysis, but for the important work, you need reliable, local systems. If you can't guarantee that the internet connection is back up in under 15 minutes (Telekom usually say 2 to 3 working days), then it just isn't an option - and then you have AWS, they probably don't have an SLA that guarantees a maximum of 15 minutes downtime during production hours (usuall 01:00 through to 16:00).
In addition, controlling the PLC on the production line or in the cool house needs response times measured in milliseconds, again, something a cloud service can't offer, let alone guarantee.