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by Alex3917
3423 days ago
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> Needing this amount of resources implies that Snap is expecting huge growth. It's a hedge. If they don't grow as rapidly as expected then they're betting that someone else will buy the excess reserved capacity from them for close to market rates. So in the case that they only use 1.5 billion dollars worth of hosting, they're betting that they'll be out, say, $25M rather than $500M. On the other hand they want to make sure that if they do grow rapidly then Google has the capacity to meet their needs. |
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