Musk’s xAI is being sued over its data center generators. Now, it’s buying $2.8B more.
Summary
Elon Musk’s xAI is facing a lawsuit from the NAACP for operating dozens of unregulated gas turbines at its Memphis data center, which critics say worsen air quality. Despite this legal challenge and an EPA ruling that these operations violate federal law, xAI revealed in a recent filing that it intends to spend $2.8 billion on additional turbines over the next three years. The company currently exploits a regulatory loophole, arguing that its equipment is “mobile,” but it acknowledges that potential injunctions or the loss of permits could severely impact its AI infrastructure business.
(Source:TechCrunch)