It doesn't have to be that way.
At Hetzner I pay $200/TB/month for RAM. That's 18x cheaper.
Sometimes you can reach the goal faster with less complexity by removing the part with the 20x markup.
It's not particularly useful to compare the cost of raw unorganized information medium on a single node, to highly organized information platform. It's like saying "this CPU chip is expensive, just look at the price of this sand".
> $3600.00/TB/month (incumbents)
> $70.00/TB/month (turbopuffer)
That's still 3x cheaper than your number and it's a SaaS API, not just a piece of rented hardware.
Except that it does prompt you to ask what you could do to use that cheap compute and RAM. In the case of Hetzner that might be large caches that allow you to apply those resources on remote data whilst minimizing transfer and API costs.
No, that's not what I'm saying. Their "Storage Costs" table shows costs to rent storage from some provider (AWS?). It's clear that those are costs that the user has to pay for infrastructure needed for certain types of software (e.g. Turbopuffer is designed to be running on "S3 + SSD Cache", while other software may be designed to run on "RAM + 3x SSD").
I'm comparing RAM costs from that table with RAM costs in the real world.
The idea backed by that table is "RAM is so expensive, so we need to build software to run it on cheaper storage instead".
My statement is "RAM is that expensive only on that provider, there are others where it is not; on those, you may just run it in RAM and save on software complexity".
You will still need some software for your SaaS API to serve queries from RAM, but it won't need the complexity of trying to make it fast when serving from a higher-latency storage backend (S3).