What is the point you are trying to make? Are you saying that we would need to have someone on payroll to have a usable machine? Then why not just have... a SysAdmin?

Shared instances is something even European "cloud" providers can do so why is EC2 so much more expensive and slower?

Because people aren't going on AWS for EC2, they go on it to have access to RDS, S3, EKS, ELB, SNS, Cognito, etc. Large enough customers also don't pay list price for AWS.