Galileo Computing is an nth Venture project.

It is dedicated to deploying high-efficiency computational resources across the globe where energy costs are low and minimally destructive.

Why

The project is a descendent of the original vision of ARPANET, which was to maintain useful communication systems in the event of a nuclear or viral attack by way of node decentralization. Essentially, to use the characteristics of democracy to ensure its own survival.

Our work at Galileo is to support this end: the ongoing development of decentralized human information and communication systems resilient to ecological, financial, viral, and martial disasters.

Formally, our purpose is to develop resilient, decentralized information systems for the benefit of human civilization.

Specific & Global Approach

The massive increase in computing power for modern applications is often referenced by the amount of transistors on a single chip, ie. the famously exponential Moore’s Law. Today, application-specific computing like using ASICs to mine Bitcoin has seen a logarithmic (rather than exponential) increase when viewed through the lens of energy efficiency - approaching asymptotically a hypothetical perfect conversion of energy to digital information, regardless of the size and number of chips.

Historically, ASIC (Application-Specific Integrated Circuit) machines for example would be multiples more efficient than immediately prior generations, but the rate of increase in efficiency has tapered as the machines more perfectly convert energy to useful information for a specific purpose. This means obsolesce of machines has entered a new era of longevity and the primary limiting factor commercially is the price and amount of energy. This dynamic implies the same asymptotic energy efficiency be true for other applications as other specific use machines enter maturity.

There are extraordinary mining operations in the United States, but their costs are exorbitant compared to global markets.

By purchasing surplus energy in stable but low cost economies (think for example a large hydroelectric dam that is not nearly fully utilized) we subsidize energy for local residents and support infrastructure and public services. Where there is elastic public supply the subsidy effect holds but where there is inelastic (effectively fixed supply near capacity or increasing marginal cost) the subsidy effect reverses and should be avoided.

Today, one can purchase kilowatt hours even at retail prices in low cost economies for similar rates that massive operations secure in the United States wholesale with large, complex off-take agreements directly with power plants.

Computing power for miners at the margin is linear, and therefore not an advantage of scale. Each machine adds just one machine worth of compute and produces the same amount of output whether it is in New York or the North Pole.

Course of Action

We intend to pursue operations at meaningful scale with commercially viable means. Obviously imperfect, the profit incentive is a fairly good guide in this case for meeting demand for computing resources effectively and efficiently. You can read more about our approach to aligned capitalism at nth Venture.

General purpose computers and data center operations are at least an order of magnitude more complex, but as specific applications reach energy efficiency maturity, there is no limit to the number of specific use cases we can employ with an energy arbitrage strategy.

Our initial focus is SHA-256 algorithms, meaning crypto mining. This is not a referendum on the price or value of popular coins as an investment vehicle. Similarly, owning gold and owning a gold mine are distinctly different assets. We prefer the latter. The future price volatility of your digital output on the downside has a different economic profile when there is at least a nominal ongoing amount of utility on the network and you are the most efficient node cluster on the network.

In the future we hope to expand to meet the demand for adjacent applications of the approach where there is significant utility, including decentralized cloud computing networks and direct support for the computational demands of universities, startups, and businesses. Consolidation of the large cloud operators does not mean they are inherently bad, but it does present opportunities when prices become inflated, similar to the pre-Southwest airline industry.

Resilient Independence, Not Subversion

Our team is full of veterans and proud Americans. We pay taxes. We love our country and what it strives to stand for. The value of cutting edge computation, even crypto code-breaking applications, is clear and not at odds with an optimistic love of country.

The same way we won the Cold War, by leveraging the creative power of liberty inherent in our democracy, may be the same way we win the next contest to preserve global freedom and liberty in the digital age.

Status

We are conducting diligence and preparation for our first operational site in South America.

For information contact sam@galileocomputing.com or 361-510-3444.