On the southern edge of Memphis, rows of gas-fired turbines now hum behind fencing, their presence mostly hidden from daily view. The reason for their existence—one that has drawn both scrutiny and concern—sits at the heart of a rapid technological arms race. In this corner of Tennessee, the demands of artificial intelligence development have collided with longstanding public health challenges and legal oversight.
Turbines Power Supercomputer Ambitions
The facility in question belongs to xAI, the artificial intelligence company founded by Elon Musk. Over the past year, the company installed at least 26 mobile gas turbines, each contributing to a total generating capacity exceeding 400 megawatts. The turbines were brought online to supply power to a new data center called Colossus, a site billed as housing one of the world’s largest supercomputers with approximately 200,000 graphic processing units.
Aerial and thermal images reviewed by the Southern Environmental Law Center (SELC) confirmed the ongoing operation of these turbines. While xAI stated publicly that the power units are a temporary solution while awaiting a permanent grid connection, the company continued to increase capacity, even as concerns mounted.
Legal Action and Permitting Concerns
The SELC, on behalf of the NAACP, has served xAI with a formal 60-day notice of intent to sue, a necessary step before pursuing litigation under the federal Clean Air Act. The legal complaint alleges that the company did not obtain required construction and air quality permits prior to deploying the turbines, potentially placing the facility in violation of environmental regulations.
“We have on four different occasions sent formal requests to the local health department asking for them to use their authority to enforce the law,” said Patrick Anderson, senior attorney at SELC, in an interview. “Obviously, that hasn’t happened.”
In its statement to Newsweek, an xAI spokesperson maintained that the company is “operating in compliance with all applicable laws” and emphasized a commitment to community and environmental responsibility.
Public Health Fears in a Vulnerable Community
Memphis, which in 2024 was designated the “asthma capital” of the United States, already contends with high levels of air pollution. The Colossus site is located near Boxtown, a historically Black neighborhood with a cancer risk above the national average and a concentration of existing industrial activity. Experts warn that a gas plant of this size may emit more than 2,000 tons of nitrogen oxides annually, pollutants that contribute to smog and respiratory illness.
“Billion-dollar companies set up polluting operations in Black neighborhoods without any permits and think they’ll get away with it because the people don’t have the power to fight back,” said NAACP President Derrick Johnson in a statement. Local environmental groups and residents have voiced frustration over the lack of transparency and what they see as disproportionate risks to their community.
Industry Trends and Energy Challenges
The Memphis case underscores a broader industry challenge as tech companies seek to rapidly expand AI infrastructure. With regional power grids often unable to accommodate soaring energy needs, data centers increasingly turn to on-site solutions such as gas turbines. While some industry leaders pursue renewable alternatives, fossil-fueled generation remains a stopgap for fast-moving projects.
“AI is contributing to a surge in electricity demand, and energy supply has become a limiting factor for data centers,” said Anderson. “There is a right way to do it and a wrong way. If it is the wrong way, then someone’s going to hold them accountable.” Federal authorities are now reviewing the situation, and further regulatory scrutiny is likely as legal proceedings advance.
Check your numbers. The gas turbines are only 15 MW each. Poor article.
Generator have been tested and are way below threshold. How many are operating? Very negative irresponsible article. Won’t read any more!