A 1GW data center consumes 8.5 billion yuan annually, and servers are scrapped after three years. This depreciation rate makes even mining machines silent.

Epoch AI estimates the ownership cost of a 1GW AI data center: initial capital expenditure of $38 billion, annual operating expenses of $900 million. After amortization, the annualized total cost is approximately $8.5 billion, with server depreciation about $5 billion, accounting for 60%, and energy and other operational costs around $600 million. If the IT equipment lifespan is 3 years, the annualized cost rises to $12 billion; if it is 7 years, it drops to $7 billion. Source: BlockBeats.