I'm not really sure they have thought this through. Or at least their solution has been to essentially insulate the company and even the physical building from the debt used to buy the GPUs. These SPVs typically lease the building and secure the debt to the GPUs themselves so if it all goes pear-shaped, it'll be the debtholders who are left holding the bag, priamrily.

But I have questions:

1. How often do GPUs fail? I've seen figures that this is as high as 9% annual failure rate for DC GPUs;

2. How easy is it to get replacement stock? At what cost?

3. If you trade in, what value do you get for your GPUs?

4. What is the availability like? How does NVidia decide who gets the next wave of GPUs? That's NVidia's big power here. It's a bit like how Boeing and Airbus decide on customer order and if you upset them, you may lose other orders. This happened to Qatar Airways over the A380 [1].

5. How long are the current form factors and interfaces going to last? How long before the power requirements get larger than what DCs are currently built for? Blackwell GPUs use a lot more power than, say, 2 or even 1 generation ago did.

GPUs are a huge cost factor, allegedly more than 50% of the cost of a data center [2]. If you take a bath on the trade in and are forced to do it because you can't compete with the current generation's performance-per-watt, that's not a good situation to be in.

[1]: https://www.arabnews.com/business/qatar-airways-in-mystery-a...

[2]: https://orennia.com/insights/what-it-actually-costs-to-build...