Earlier quoted context omitted.
Zoning is one area that’s better in space. Not really, though? The idea that Earth-based data centers need to be built in populated, developed areas is indeed dumb, yet it seems to be inexplicably baked into everyone's assumptions. In particular, the small discrete data centers that Musk wants to launch could go anywhere on Earth. They could be powered by local PV arrays and batteries, they can be cooled by smaller r…
The problem is that you need humans to run datacenters, and so that puts ceilings on how far away from humans you can put them without the humans no longer being willing to commute there. And the cost of building all the infra to support humans living in an area that humans are not already populating is enormous.
As far as I can tell from random articles online, it seems that as a rule of thumb, you need about 6 humans +1.5 humans per megawatt - and that's just for running the datacenter part, different people maintain the power generation infrastructure. Now, if you have to house those people in space or fly them up whenever they have to do anything, that's going to destroy your budget.
If you want to assume a level of automation that makes that unnecessary, that's fine, but then you need to also assume that same level of automation in earth based data centers too, and everything that goes with that.