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Having done both, I have a few comments.

Primarily, I hate to tell you, but Linode is now a "cloud" provider; "Cloud Hosting" is the headline on their homepage.

- Nothing stops you from running your full stack on a single large EC2 or GCE or Linode instance.

- Unfortunately, running your whole stack on a single server is a great way to experience a lot of pain when growing or when you write a runaway SQL query that burns all the CPU on the box and starves your Apache server, causing page loads to be multiple seconds and turning away potential users/customers/investors.

- Managing your own OS is a great way for guys who are great at writing Java but not experienced with Linux to have a ton of painful distractions that don't contribute towards building a successful product. Nobody's going to buy your SaaS app because your kernel is always up to date.

- The phrase "the server went down so we can't currently operate our business" drives me absolutely insane in 2014.




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