My math shows the VOO fees end up around $2.5k vs. $73k for the 1% AUM (unless you assume another 1% for the fund recommended by the advisor, in which case it's $130k, half for the advisor and half for the fund, but then the ending balance for the AUM case is just $517k).

The problem is that not only do you pay the AUM, but you also lose the gains you'd have had for the money you paid along the way.