Advice needed on Selecting Server VS Cloud

I am having a big issue. Imagine that I am planning to launch a local social media site. You know what it is, multiple users, lot of data uploads (ie: photos, notes, etc). However I am having a hard time selecting a choice between cloud and server. Below are the reasons.

1. 
   

   The application will be in Java (JSP, Servlet) and the database is MySQL. I can make the application connect with the database using the normal server-client approach, using JDBC. I have heard in clouds like amazon they have a special API where we cannot directly apply JDBC. This learning curve can be time consuming and risky at the moment.

   
   


2. 
   

   I need unlimited data storage. Who knows how many files the users will upload? Most servers I visited offer 5GB, 10GB like packages. However I found below servers which claims to offer unlimited storage. However I am not 100% sure about this, because some sites are good at false marketing.

   
   

http://ift.tt/1J6QBMD

http://ift.tt/1E10N9p

I do believe I do not have to worry about the disk space in clouds like amazon, I have heard they offer unlimited as far as we pay.

3. 
   

   I am worried about the cost factor. I have heard amazon can eat me up, while server can cost $15 per month.

   
   


4. 
   

   I do not know which one is stable.

   
   


5. 
   

   Lets assume after the launching the application I managed to get 500 users on board in first year. 1000 in next year and so far. Not sure whether cloud or server is best to support unlimited growing users.

   
   


6. 
   

   I am familiar with CPanel, not with cloud based GUI.

   
   


7. 
   

   I want to secure the data inserted by the user. Maximum security so its hard for someone to steal it.

   
   


8. 
   

   System should not go down unless otherwise it is the end of the world.

   
   

Considering these, what do you recommend?