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There's a very steep depreciation on this capital spending too. Every year technology gets cheaper, and prior data center CapEx loses value.
by mathattack 13y ago
There's a very steep depreciation on this capital spending too. Every year technology gets cheaper, and prior data center CapEx loses value.
- scott_karana 13y agoWell, building a secure, well-ventilated, extensible, vault with reliable power sources, internet backbones, etc, is mainly an infrastructure cost that won't change year-to-year. But servers are definitely a loss, that's for sure.
- mathattack 13y agoTrue, and Google's New York building had a very high retail cost too. My impression of accounting (by no means my strong suit!) is the land doesn't actually get depreciated - it stays on the books at cost forever. I think the buildings and repairs do stay on the balance sheets for a while. The servers themselves, probably less so. If only I had the patience to dig through Google's financial reports. :-)