Reliable energy? Possible, but difficult -- need plenty of batteries
Cooling? Very difficult. Where does the heat transfer to?
Latency? Highly variable.
Equipment upgrades and maintenance? Impossible.
Radiation shielding? Not free.
Decommissioning? Potentially dangerous!
Orbital maintenance? Gotta install engines on your datacenter and keep them fueled.
There's no upside, it's only downsides as far as I can tell.
There will probably be a lot more edge computing in the future. 20 years ago engineers scoffed at the idea of deploying code into a dozen regions (If you didn’t have a massive datacenter footprint) but now startups do it casually like it’s no big deal. Space infrastructure will probably have some parallels.