I haven’t seen what will happen in the long run, but I’m running my one-person instance on a Linode nano server with 1 CPU core and 1GB RAM, which costs $5. Bought a domain for $2.50/year. Seems to be running fine so far, but I might eventually end up moving it to my local unraid server if I have problems with resources.
I’d agree, except for this: https://en.wikipedia.org/wiki/Embrace,_extend,_and_extinguish
Seems more likely that they’ll end up harming the fediverse before they improve things for us.