This sounds expensive if your talking one server and vs a year of AWS charges, but is a tiny bump if it turns out you need to buy a dozen servers to replace a large AWS bill.
Plus, I think most people underestimate how reliable server grade hardware is. Most of it gets retired because its functionally obsolete, not because a power supply/whatever fails. Which brings up the point, that the vast number of failures with server grade hardware are on replaceable components like power supplies, disks, SFP's, etc. Three or four years out those parts are available on the secondary markets frequently for pocket change.
