It is a good question.
Our life is limited by our physical body. Once the body deteriorates our life ends. It is not a bad option to live in the cloud since there we would be free of those limitations but we would not be immortal .
Living in a virtual server only means that we will live while that server can work.
I think we would be immortal because the consciousness can then be transferred from old server to the new. Once it's in a form of software, it can transferred to any number of new places, thus making you immortal.
But servers are not eternal. What if they stop working someday?
There are many causes. Lack of energy in the future, a big natural disaster, the Earth destroyed by a meteorite, the ends of life in Earth when our Sun began to enlarge... Even the universe will end someday.
Servers will stop working and we will be inside.