> GPUs become obsolete in 5 years.

Not only that, but they're typically amortized over 5 years, where the actual lifespan usually falls far shorter (1-3 years), adding to the artificial subsidy conditions we see today. So they're gaming the lenders into deferring interest payments as much as possible today so that new competitors don't have the same cheap financing advantage.[0]

0: https://blog.citp.princeton.edu/2025/10/15/lifespan-of-ai-ch...

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roryirvine a day ago | parent [-]

If they're deliberately inflating the likely useful economic life of their assets to get a lower interest rate, it's hard to see how that wouldn't be classed as fraud.

It's the sort of behaviour that really does end up with people going to prison.

	▲	hluska a day ago \| parent [-]
		You’re all getting some concepts mixed up here. That five year amortization rate is the IRS’ usual amortization rate for computers. GPUs are classed as computers for asset depreciation purposes. But GPUs are part of 168(k) so they’re eligible for a 100% bonus depreciation the year of purchase. There’s nothing fraudulent at all here just people using terms they really aren’t comfortable with.