alt Hacker News> thing. Long term stable large contracts are great simulation for a market.
They are not. It can hurt Airbus very much if a provider says they can provide a certain level of hardware/software for 10 years and in three years the RAM or storage goes through the roof and the provider is not big enough to absorb all the losses.
People don’t choose the hyperscalers because they are based in the US, they choose them because they are too big to fail and have pretty much unlimited resources and have multiplr streams of revenue.
Replies
everfrustrated • yesterday at 4:35 PM
There's a futures market for RAM prices if you want to hedge that risk. No different than corn.
I would expect a contract review for millions in hosting to review how the company will mitigate those costs. Normally you would expect them to contract away the risk themselves. In fact the current rise in RAM costs is due to exactly this, big hosters contracting for long term RAM certainty.