Elon Musk’s AI enterprise xAI has bought a 1-million-square-foot property in Southwest Memphis, Tennessee.
What Occurred: The brand new funding builds on xAI’s December announcement, the place it detailed plans to scale Colossus to deal with at the least a million GPUs within the state.
The Larger Memphis Chamber confirmed on Friday that the challenge is progressing quickly, stating that Colossus is “properly on the trail to the supercluster measurement” as outlined in xAI’s unique enlargement blueprint.
See Additionally: Elon Musk’s Grok AI Silences Trump, Tesla CEO’s Misinformation Claims, Then Backtracks — xAI Blames Former OpenAI Worker
Environmental activists have criticized the enlargement as a result of excessive power consumption of knowledge facilities.
Nevertheless, the Memphis Chamber highlighted that xAI’s new facility contains an $80 million water recycling plant and the world’s largest deployment of Tesla Inc. TSLA Megapacks for knowledge middle operations.
Subscribe to the Benzinga Tech Developments e-newsletter to get all the most recent tech developments delivered to your inbox.
Why It Issues: Colossus is seen as a crucial element of Musk’s AI technique, as he seeks to compete with OpenAI and different business leaders.
Final yr in December, xAI raised $6 billion to increase its Colossus supercomputer, aiming to extend its GPU rely from 100,000 to over one million.
Final month, xAI’s AI chatbot Grok, which is about to be built-in into Tesla automobiles, has surpassed opponents like ChatGPT and Google’s Gemini to change into the main productiveness app on the App Retailer.
This improvement occurred following xAI’s launch of Grok 3, which launched new AI capabilities, together with picture evaluation.
Try extra of Benzinga’s Shopper Tech protection by following this hyperlink.
Learn Subsequent:
Disclaimer: This content material was partially produced with the assistance of AI instruments and was reviewed and revealed by Benzinga editors.
Picture courtesy: Shutterstock
Momentum92.39
Progress55.35
High quality94.33
Worth11.03
Market Information and Information dropped at you by Benzinga APIs
© 2025 Benzinga.com. Benzinga doesn’t present funding recommendation. All rights reserved.
