Comment by pnutjam
The most consistent misunderstanding I see about the cloud, is disk I/O. Nobody understands how slow your standard cloud disk is under load. They see good performance and assume that will always be the case. They don't realize that most cloud disks use a form of token tracking where they build up I/O over time and if you have bursts or sustained high I/O load you will very quickly notice that your disk speeds are garbage.
For some reason people more easily understand the limits of CPU and memory, but overlook disk constantly.
Even without that, you are still at the heart of it accessing over a SAN like interface with some sort of local cache. Getting an actual local drive on AWS the performance is night and day