Orbital data centers are more expensive in every way. Lifting mass into orbit is cheaper than it's ever been, but it's still not cheap.
The only reason I can think this idea is compelling to billionaires is because they believe the masses will converge to destroy terrestrial data centers once AI has taken all the jobs. Ergo: put them in orbit
Eric Schmidt Says 'We're Running Out Of Electricity,' Urges Space Data Centers — Elon Musk Quips: 'If Only There Were A Company' https://www.benzinga.com/markets/tech/26/02/50635721/eric-schmidt-says-were-running-out-of-electricity-urges-space-data-centers-spacex-ceo-elon-musk-quips-if-only-there-were-a-company

Eric Schmidt Says 'We're Running Out Of Electricity,' Urges Space Data Centers — SpaceX CEO Elon Musk Qui
Elon Musk reacted to Eric Schmidt's warning that AI growth could create a 92-gigawatt power shortfall, hinting that SpaceX and his newly merged xAI venture could help address the energy bottleneck through space-based data centers.


