Right. Because in-house infrastructure never fails.
Power outages never happen.
Lines are never cut...
If the power goes out in your company building, odds are perfect that your users are going to be sitting in front of dark workstations long before the UPS gives out and the servers shut down. ;) Same with most general IT outage situations... if a patch borks your 'doze servers, it's likely going to bork your 'doze workstations. If your Internet/WAN is dead, it's going to affect your users too. Unless your users are all remote and on VPN, a local problem is going to affect your users in more ways than just the IT infrastructure.
Contrast that with the cloud, where you have all of your users just sitting around, surfing Facebook/Etsy/Whatever (err, Slashdot?) and twiddling their thumbs while some dudes off in CloudLand figure out what broke.
Another point: a local break in any competent IT infrastructure will likely be fixed much faster, the executives will get their updates sooner, and there's no information/communications gap - everyone knows what's going on as it is found (instead of waiting for some opaque-as-fuck tidbit of info that's first been spun-all-to-hell by some cloud company's PR department, then filtered through a battery of company lawyers to avoid having to pay up over any SLA breaches).