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.

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lokar a day ago | parent [-]

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

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ody4242 a day ago | parent [-]

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 a day ago \| parent [-]
		That was not my experience, but that was pre-Covid