No you just don’t understand the terminology. It’s the same idea as person that is car-less taking an Uber. There is still a car involved but you don’t even drive it you use it for a bit and then someone else uses it. That is serverless. In this analogy. Cloud hosting would be like renting (on demand servers) or leasing (reserved instances) a car in both cases you don’t own it but you’re the only one that gets to use it. On premises servers would be like buying a car.