Do Private Data Centers Make Sense Anymore?

Public/private infrastructure split might be facing its sunset thanks to new service models offered by public CSP’s.
Today public cloud infrastructures have grown far more flexible application support and improved in minimizing out of control spending. The singular private data center benefit centers on application performance. The throughput is likely to be superior on the local LAN and public clouds are struggling with requirements of high level network performance.
Therefore public CSP’s and telecommunications providers are building-out micro clouds or metropolitan edge infrastructures which can be deployed in geographic locations where most end users reside. For businesses with WFH or hybrid workplace models, this is a great way to maintain low-latency performance. Larger cloud providers now offer the ability to extend their infrastructure buildouts in an on-premises corporate LAN or colocation (AWS Outposts and Azure Edge Stack). Here the CSP is responsible for the management and security, while the customer manages applications, data and services.
It seems that budget dollars to upgrade private data centers won’t be reasonable. Would you believe in the end of the private data center era?