Artificial intelligence startup xAI, founded by Elon Musk, has informed planners in Memphis that it intends to build a solar farm beside its Colossus data center, one of the world’s largest facilities for training AI models.
The project will occupy 88 acres located to the west and south of the site. A 136 acre vacant lot owned by the same developer borders the property. Based on its size, the solar farm is expected to generate around 30 megawatts of power, which would cover only about 10 percent of the data center’s estimated electricity needs.
The move comes as the company faces criticism for operating more than 400 megawatts of natural gas turbines without permits. According to the Southern Environmental Law Center, which is working with the NAACP, xAI has operated at least 35 turbines capable of emitting more than 2000 tons of nitrogen oxide pollution per year. These emissions contribute to smog and respiratory problems.
Residents of Boxtown, a predominantly Black neighborhood near the data center, have voiced strong opposition to the turbines. Research from the University of Tennessee, Knoxville found that peak nitrogen dioxide levels rose by 79 percent in areas surrounding the facility after xAI began operations. Community members have reported more asthma attacks and respiratory issues since the center opened.
xAI has said it will rely on the turbines until it secures additional power sources. Local officials granted the company a permit to operate 15 turbines through January 2027.
Earlier in September, the company announced plans for a separate 100 megawatt solar farm paired with 100 megawatts of grid scale batteries to provide continuous power. While the company has not disclosed the full cost of that project, the developer Seven States Power Corporation received 439 million dollars from the United States Department of Agriculture, including 414 million dollars in interest free loans. The funding stands out at a time when several clean energy grants and loans have been cancelled by federal agencies under the current administration.
At the same time, xAI has also added gas turbines in Mississippi to supply its Colossus 2 data center. A total of 59 turbines are now on site, 18 of which are considered temporary and therefore not monitored by regulators.
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