Earlier quoted context omitted.
Because renting 1000 cores for a limited time is much cheaper than buying them outright?
1000 cores of what ? Vcore is marketing BS. Even if it was not marketing BS it's 28 2U 3 node boxes (if using older cpus) or 14 2U 3 node boxes (if using more recent ones) unless they have extremely spiky workload using AWS is pointless. Bandwidth bound scientific apps ==> use infiniband cluster.
I'm not doubting a custom build will give him much greater bandwidth. I just doubt the workload has to be "extremely" spiky to make the cloud cost-effective.
Of course, he's going to get billed for 10m or 1hr minimum (Google or Amazon), so that's assuming he can amortize his startup across multiple jobs.