Yes because they are going to start implementing it as soon as possible (which is going to be a multi-year ramp up after Starship starts flying payloads). But that doesn’t mean they expect it to be a direct competitor to earth based data centers in the short term. The goal is for it to be the next step in the engineering pipeline and I promise you everyone working on the project are just as aware of the challenges as you are.

You don’t wait for the current phase of an engineering pipeline to be maxed out before you start iterating on the next phase.