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missedthecueyesterday at 9:25 PM2 repliesview on HN

But the parent comment was that one of the bigger costs in these data centers was the interest expense on the borrowed money. A restructuring removes or heavily reduces that amount.

The fiber laid during the dotcom bubble never paid back the investors or lenders, but it's still profitably connecting customers all these years later.


Replies

nothercastleyesterday at 10:14 PM

It’s true once built the data center can operate right up to a financed data center value of zero. The investors will loose money but the costs of AI will go down as they do

lazideyesterday at 10:20 PM

Yup, that is the real economic benefit of bankruptcy - a reset.