From what I understand, PubNub provides servers around the world who take care of the heavy lifting and all you have to do is deal with publishing / subscribing messages.
So there are servers, you just don't run any yourself and it is all abstracted away by their API.
Excellent investigation! You are correct thank you for the explanation here on this thread. Check it out we also needed to remove the server.js file too. No more node needed now. Enjoy!