100 million on servers

I’ve been talking to Paul Watson about the reg’s article on the Facebook CTO taking an extended holiday. Obviously I wish Adam D’Angelo well and he’s done a really cool thing but… 100 million dollars on servers?? WFT???
Have they heard of utility computing? Storage and computational outsourcing deals? These are really useful when you want to variabilise a business cost which is usage dependent. Especially, if you’re actually making money from your customers. Not for the first time I can’t see where FB are going with this but if all these servers are required for their FB Connect service I hope they have a business model to justify this beyond “get bought”.