If we are talking about the business case of this, then I wouldn't think too big - yes, some companies have to follow regulations and would opt for another solution. Sure, that's fine.
The target group would be all kinds of small server owners. I would use it for my private and my small company server where I am, fortunately, not bound by regulations.
I don't know actually who preferably uses Cloudron, whether this is more of a company product or if this is more used by small companies or private individuals.
Regarding the possible markup, I think Cloudron would need to find once a cooperation partner company that could guarantee a good setup. If Cloudron used Backblaze, for example, then I could use them myself. But there are tons of smaller, yet reliable companies that could provide a good solution.
Maybe other users can also weigh in on their needs if someone else reads this?