Their electricity costs are $10K per month or about $120K per year. At an interest rate of 7% that's $1.7M of capital tied up in power bills.
At that rate I wonder if it makes sense to do a massive solar panel and battery installation. They're already hosting all of their compute and storage on prem, so why not bring electricity generation on prem as well?
At 120K per year over the three year accounting life of the hardware, that's 360k... how do you get to 1.7M?
It seems unlikely to me that they'll never have to retrain their model to account for new data. Is the assumption that their power usage drastically drops after 3 years?
Unless they go out of business in 3 years that seems unlikely to me. Is this a one-off model where they train once and it never needs to be updated?
Let's just say we're not seeing all of these sudden private nuclear reactor investments for no reason.