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Are you sure about your first sentence?

real estate - don't they explicitly look for cheap real estate and tax breaks?

electricity - cloud providers save a lot on electricity by choosing carefully their locations. Facebook built a datacenter in the Arctic, I don't see your average enterprise doing that.

- x86 hardware. They're spending a lot less by having their own custom hardware

- engineering talent. They should be saving by using local talent from elsewhere, not Silicon Valley or NYC wages. IBM does that.

http://www.slate.com/articles/technology/the_efficient_plane...

http://www.businessweek.com/articles/2013-10-03/facebooks-ne...



All companies offshore these days. Anything a cloud company can do, any large company can do.




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