What was snipped made it very clear I was referring to not having *any* hot water if there's a problem with a tankless. Most people do not have multiple zoned hot water systems in their homes of either type so their choice is having a potentially useful reserve of (hot) water with a tank and no (hot) water reserve of any kind with a tankless.
Admittedly you can imagine all sorts of scenarios that are exceptions. Obama declares martial law or there's an earthquake and all the gas lines are turned off. Terrorists poison the reservoirs. No matter how many tankless heaters you have, you're going to be taking a cold shower without gas. If the reservoirs are poisoned, what would 50gal of clean, potable water become worth?Are those likely scenarios? No. But they're not impossible ones.
Obviously, in the world of tank v. tankless, boxers v. briefs and chocolate v. vanilla, there will be differences of opinion. In my case, I have good reasons to prefer a pilot-lit tank to a tankless. YMMV.
The tank gives me the potential of 50gal of spare (hot) water and a smaller gas line entering my home. In fact, that would be the risk I would be concerned about the most - a ruputured large diameter gas feed. There are some people who don't care about any of that and want hot water fast whenever they want it. I can wait. It's a small house and it the water heats up fast enough for me.