Isn't that typically because they have lower labor costs? Not sure that applies as much to AI.
The Chinese edge tends to come from their environmental laws; they allow their industry to do things that the West would ban.
[0] https://en.wikipedia.org/wiki/List_of_countries_by_GDP_(nomi...
However large parts of many countries is rural, and different amounts for different countries, and that tends cause control issues.
But in general, a low Geni coefficient and a high GDP per capita means labour costs are high.
What’s not overblown is the ease with which the government can get big projects done. And there are some downsides to that, specifically when it comes to property rights.
The Beijing public transit trains are a great example. The routes are wildly straight. So straight they allow extremely long trains.
Thats possible, in part, because the government can just reappropriate the land in a way that governments in the west can’t without engaging with a contentious public.
And that’s just one example. That sort of thing permeates many different kinds of projects and leads to a particular kind of efficiency.
> They're pumping out solar like mad and places like the Xinjiang deserts actually have nowhere to put their excess electricity from what I've read previously.
You've found a pretty compelling piece of evidence right there. There is a reason they're the ones pumping out solar like mad - because they have relatively lax environmental laws. If they had western-style environmental laws the panels would have to be manufactured in India or Africa or something.
Obviously it isn't the only criteria because I'm sure there are places with lower environmental requirements than China; but the big selling point for the last 20-odd years seems to have been more that you're allowed to manufacture there and they have a competent workforce rather than that the wages were amazingly low.
Confucius came before Plato and most important discoveries came from China. The two wrote a the "good citizen" ought to be and how a city/country/empire ought to be run. Even meritocracy has been traditionally stronger in China, over centuries.
In the west we're talking about it since Homer, but in practice has been applied sporadically, while China has been much more consistent.
Though in manufacturing China is dominating because of immense optimized supply chain, economy of scale and now workforce with know-how.
I honestly cant compare with US since I'm not from US, but to produce something in EU you will have weeks or months lags on logistics of source materials and components. And some industries only exist in some countries, etc.
In China in one single place you have anything you need to produce from a toaster to a car in hands reach or might be few days at most.
And I guess China did the same with education. Education is a lot cheaper there so they just have more talent.
So, plonking data centers into the desert (or on orbit) isn't really a silver bullet, is it?
I don't know if they're actually building AI DCs out there, but it doesn't seem completely unreasonable like you're suggesting.
Of course it doesn't seem completely unreasonable to build out power distribution, cooling, and high-bandwidth network interconnects throughout a region, but once you've done that, you are no longer facing the empty, barren desert scenario.
So if China builds out infrastructure that can be maintained in perpetuity, then more power to them, and the NIMBYs won't have a leg to stand on.
Conversely, in these United States, I've seen literal tons of data centers being plonked into urban centers: literally at intersections where lots of people drive by in daily commutes, there are data centers now where there weren't before, and they are also found on the outskirts of civilization, because they require more security than accessibility. So data center siting can take multiple factors into account here, depending on their purpose.
And can we please stop hammering on the "AI Data Center" meme, because in my experience, a DC is a DC, whether they choose to make it AI or not AI, they're probably all AI from now on, but it just adds fuel to the Luddite fires to say so...
I don't see why the same couldn't happen if they let datacentres drive up energy costs or have other widespread impacts.
I'm sure it's better than it was before and it's not India bad but it's almost always considered unhealthy in most parts throughout the whole year
Good luck for getting that type of life in silicon valley.