What happened
Elon Musk announced that two additional data centers, Gun Range and Spam, are expected to begin operating before the end of the year as part of SpaceXAI's expanding artificial intelligence operation in the Memphis area. The two sites are part of the company's Colossus 2 computing complex and are expected to house approximately 420,000 Nvidia GB300 graphics processing units. Gun Range is expected to become operational by the end of November, with Spam scheduled to follow in December.
The two data centers, Gun Range and Spam, are part of the company's Colossus 2 computing complex and are expected to house approximately 420,000 Nvidia GB300 graphics processing units.
Gun Range is expected to become operational by the end of November, with Spam scheduled to follow in December.
The expansion follows the launch of the original Colossus supercomputer in 2024 at a former Electrolux manufacturing facility in South Memphis.
The company later expanded its operations into the Whitehaven area and Southaven.
Musk has also said he has been spending several days a week in Memphis overseeing construction.
Why it matters
The expansion of SpaceXAI's data centers in the Mid-South highlights the challenge facing communities as technology companies move quickly to build the infrastructure needed for artificial intelligence while residents and local governments seek greater oversight of the projects. The growth of data centers has raised concerns about pollution, noise, electricity demand, and water use, and the Memphis City Council has approved a 135-day pause on new data center permitting to give city officials time to develop land-use and siting rules addressing these concerns.
The growth of data centers has raised concerns about pollution, noise, electricity demand, and water use.
The Memphis City Council has approved a 135-day pause on new data center permitting to give city officials time to develop land-use and siting rules addressing these concerns.
The expansion of SpaceXAI's data centers in the Mid-South highlights the challenge facing communities as technology companies move quickly to build the infrastructure needed for artificial intelligence while residents and local governments seek greater oversight of the projects.
The NAACP filed a federal lawsuit against xAI and subsidiary MZX Tech, alleging that the companies operated methane gas turbines without required permits at the Southaven site.
A federal judge recently rejected the companies' request to dismiss the lawsuit, allowing the case to proceed.
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What to watch next
The impact of the data center expansion on the local community and the environment, the development of land-use and siting rules by the Memphis City Council, and the potential for further expansion of SpaceXAI's operations in the Mid-South.
The impact of the data center expansion on the local community and the environment.
The development of land-use and siting rules by the Memphis City Council.
The potential for further expansion of SpaceXAI's operations in the Mid-South.
The outcome of the lawsuit filed by the NAACP against xAI and subsidiary MZX Tech.
The impact of the data center expansion on the local economy and job market.