SpaceX delays removal of unauthorized turbines powering xAI data centers until 2027

SpaceX announced it will eliminate the unlicensed gas turbines currently powering its xAI data centers near Memphis, but completion of the removal process will not occur until July 2027. Currently operating 69 turbines to supply the Colossus data centers, many of which have been active for several months, the company faces legal action from the NAACP and Southern Environmental Law Center over the use of unpermitted equipment. The company acquired xAI in February and has indicated plans to spend $2.8 billion on gas turbines for data center operations over the next three years. SpaceX maintains that existing turbines do not require permits because they remain on their original shipping trailers, though federal regulations establish that turbines of this scale and application require licensing regardless of their mounting method. The facilities near Memphis in Mississippi, close to the Tennessee border, operate in one of America's most polluted regions. Current turbine operations can generate over 2,000 tons of smog-forming nitrogen oxides annually. The Department of Justice sided with SpaceX in litigation, characterizing the unpermitted turbines as a matter of "national, economic, and energy security". A new permanent power plant under construction will feature 41 gas turbines ranging from 16.48 to 50 megawatts. SpaceX's acquisition of APR Energy, a temporary natural gas power specialist, suggests possible involvement in additional undisclosed projects.