[ody4242]

They are building new datacenters for the AI demand, so around half of this CAPEX is not for the GPU-s, and those will not be replaced every 3-5 years.

Also, TPUv2 was introduced in 2018, and still not completely retired in all regions, from accounting pov, it has been written down to 0, but they are still working.

[lokar]

The cost of the land, building, mechanical equipment, etc is a very small fraction of the total cost of a DC.

[ody4242]

The upfront cost of facility is ~30%, network infra 10-15%, land/utilities is small percentage, power could be significant for an AI DC. The servers are ~50-60% only.

[lokar]

That was not my experience, but that was pre-Covid