Elon Musk’s xAI to invest $20 billion in data center expansion in Mississippi.
Elon Musk’s AI startup xAI is expected to invest more than $20 billion in expanding a data center in Mississippi, US. Gov. Tate Reeves noted it would be the largest private investment in state history.
Join me as we announce a record $20 billion investment in our state.
Mississippi has momentum and THIS is our moment! https://t.co/wf86VZ8snW
– Governor Tate Reeves (@tatereeves) January 8, 2026
Last year, the demand for data center capacity has increased amid a boom in the artificial intelligence sector. Therefore, the power systems of developed countries began encounter problems due to the increased load.
On December 30, Musk announcement purchasing a data center, which he named MACROHARDRR. This is likely an ironic reference to Microsoft, as the word is an antonym of the company’s brand with an RR added to the end.
The billionaire did not disclose details at the time, only noting that the facility would allow xAI to expand its available capacity to 2 GW.
According to Governor Reeves, the data center is located in Southaven, near a power plant recently acquired by the startup. Operations are expected to begin as early as February this year.
In September 2024, xAI spear the Colossus AI training cluster in Memphis, Tennessee, using 100,000 Nvidia H100 GPUs. It was then considered the largest in the world. Environmentalists accused the data center worsen environmental conditions due to the use of gas turbines.
In January 2025, US President Donald Trump announced $500 billion in private investment in AI infrastructure. The initial investment from the OpenAI, Softbank and Oracle joint venture, named Stargate, was planned at $100 billion, with further expansion planned. Experts doubted the initiative’s ability to attract the declared amount of capital.
The first Stargate data center complex, with a capacity of 1.2 GW, is expected to be completed by mid-2026. The facility will house up to 400,000 powerful AI chips from Nvidia.
Have you ever heard of the text? Select it and press CTRL+ENTER
ForkLog Message: держите руку на пульсе биткоин-industry!