I read it as the inefficient part isn't the compute efficiency, the inefficient part is dumping all the resulting heat into the environment without capturing it and using it in some way to generate electricity or do work.

On a related/side note, when there's talk about seti and dyson spheres, and detecting them via infrared waste heat, I also don't understand that. Such an alien civilization is seemingly capable of building massive space structures/projects, but then lets the waste heat just pour out into the universe in such insane quantities that we could see it tens/hundreds of light years away? What a waste. Why wouldn't they recover that heat and make use of it instead? And repeat the recovering until the final waste output is too small to bother recovering, at which point we would no longer be able to detect it.