The compute arbitrage math: every $1 in data centers returns $4
TinfoilTricorn · x · 2026-11-05
anabology argues data centers are an 'IRL money glitch': one MWh of compute rents for $5,700 (e.g. to SpaceX) while costing $1,250 all-in, so fully rented every $1 invested returns $4 — and the arbitrage is widening as Anthropic's revenue per megawatt nearly 4x'd in a year. He contends only frontier models make sense to use: people choose ChatGPT, Gemini and Claude over Mistral or Sakana, since non-frontier LLMs mean paying more for worse results. Chart: Artificial Analysis intelligence-vs-cost scatter with GPT-6.1 Sol/Terra in the most attractive quadrant.
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