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Jon Keegan4/25/25

Musk’s “Colossus” AI data center is spewing methane from portable gas turbines: report

In September, Elon Musk announced that xAI had fired up its massive “Colossus” AI data center in South Memphis, Tennessee. Musk boasted that the whole project took only 122 days to complete.

Powered by 100,000 Nvidia H100 GPUs, the supercomputing cluster is considered the largest in the world.

To spin up such a power-hungry data center, xAI relied on a loophole that allows for the use of portable gas turbines for up to 364 days without a permit.

The 150 megawatts of energy it currently gets from a local utility was not enough to cover huge spikes in power demand for the cluster, so the company brought in 35 portable gas turbines. The company told residents that only 15 of the turbines were in use, but now the Southern Environmental Law Center has evidence that more were being used.

Flying around the data center site and using a thermal imaging camera, 33 of the turbines appeared hot, indicating that they were in use or had recently been.

Residents who are worried about the environmental effects of the heavier-than-expected use of the gas turbines will attend a public hearing today to lodge their opposition and call for greater transparency.

Musk has said he wants to scale the data center up to 1 million GPUs.

Elon Musk’s xAI accused of pollution over Memphis supercomputer

Elon Musk’s xAI accused of pollution over Memphis supercomputer

To spin up such a power-hungry data center, xAI relied on a loophole that allows for the use of portable gas turbines for up to 364 days without a permit.

The 150 megawatts of energy it currently gets from a local utility was not enough to cover huge spikes in power demand for the cluster, so the company brought in 35 portable gas turbines. The company told residents that only 15 of the turbines were in use, but now the Southern Environmental Law Center has evidence that more were being used.

Flying around the data center site and using a thermal imaging camera, 33 of the turbines appeared hot, indicating that they were in use or had recently been.

Residents who are worried about the environmental effects of the heavier-than-expected use of the gas turbines will attend a public hearing today to lodge their opposition and call for greater transparency.

Musk has said he wants to scale the data center up to 1 million GPUs.

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Tesla and Google’s Waymo to Senate committee: Fix self-driving laws or China will win

Ahead of their appearances Wednesday at a Senate committee hearing on the future of self-driving, the two biggest names in the sector, Tesla and Google’s Waymo, are talking the same book.

Both companies are warning lawmakers that without a federal framework for autonomous vehicles — something Congress has debated for years and is now considering again as part of broader transportation legislation — China will seize the lead.

“The United States is locked in a global race with Chinese AV companies for the future of autonomous driving, a trillion-dollar industry comparable in strategic importance to flight and space travel,” Waymo Chief Safety Officer Mauricio Peña said in written remarks ahead of the event. “In the absence of US leadership on a national AV legislative framework, Chinese AV competitors will fill the gap and set the safety and technical standards for the rest of the world.”

Tesla Vice President of Vehicle Engineering Lars Moravy, for his part, wrote, “If the US does not lead in AV development, other nations — particularly China — will shape the technology, standards, and global market.” He added, “China will be the dominant manufacturer of transportation for the 21st century.”

The two companies face steep competition from Chinese firms, including Baidu, which operates a robotaxi service, and BYD, whose EVs offer driver assistance technology similar to Tesla’s Full Self-Driving and which has been outselling the US automaker.

Hit the Road, Mac: The Future of Self-Driving Cars

Hit the Road, Mac: The Future of Self-Driving Cars

Both companies are warning lawmakers that without a federal framework for autonomous vehicles — something Congress has debated for years and is now considering again as part of broader transportation legislation — China will seize the lead.

“The United States is locked in a global race with Chinese AV companies for the future of autonomous driving, a trillion-dollar industry comparable in strategic importance to flight and space travel,” Waymo Chief Safety Officer Mauricio Peña said in written remarks ahead of the event. “In the absence of US leadership on a national AV legislative framework, Chinese AV competitors will fill the gap and set the safety and technical standards for the rest of the world.”

Tesla Vice President of Vehicle Engineering Lars Moravy, for his part, wrote, “If the US does not lead in AV development, other nations — particularly China — will shape the technology, standards, and global market.” He added, “China will be the dominant manufacturer of transportation for the 21st century.”

The two companies face steep competition from Chinese firms, including Baidu, which operates a robotaxi service, and BYD, whose EVs offer driver assistance technology similar to Tesla’s Full Self-Driving and which has been outselling the US automaker.

Waymo is now worth $126 billion, after raising $16 billion in a funding round led by its parent company, Google. With this capital, Waymo plans to expand its robotaxi service to more than 20 new cities, including international markets.

On Wednesday, Waymo’s chief safety officer will testify at a Senate Committee on Commerce, Science, and Transportation hearing, alongside a representative for Tesla, urging lawmakers to create a national regulatory framework for autonomous vehicles.

tech

Dan Ives thinks Tesla will someday merge with SpaceX, too

Wedbush Securities analyst Dan Ives is just like us: he thinks that Elon Musk’s Tesla and SpaceX could someday become one company.

In a note this morning, Ives argued there’s a “growing chance” Tesla will eventually merge in some form with newly merged SpaceX and xAI, as Musk builds what he sees as a single, sprawling AI ecosystem spanning both space and Earth.

Over time, Ives wrote, he thinks Musk will look to “combine forces/technologies,” with the long-term goal of owning and controlling more of the AI stack. Ives thinks Musk could achieve that “holy grail” over the next year and a half.

Earlier today, we pointed out the myriad similarities between Tesla and SpaceX — shared impossible missions, common methods for achieving those goals, and a physics-first, economics-later ethos — as well as Musk’s long-standing penchant for knitting his companies together in the first place.

SpaceX and Tesla are sounding very similar these days

SpaceX and Tesla are sounding very similar these days

Over time, Ives wrote, he thinks Musk will look to “combine forces/technologies,” with the long-term goal of owning and controlling more of the AI stack. Ives thinks Musk could achieve that “holy grail” over the next year and a half.

Earlier today, we pointed out the myriad similarities between Tesla and SpaceX — shared impossible missions, common methods for achieving those goals, and a physics-first, economics-later ethos — as well as Musk’s long-standing penchant for knitting his companies together in the first place.

SpaceX and Tesla are sounding very similar these days

Elon Musk’s AI rocket company has a lot in common with his AI vehicle company.

Donald Trump Watches SpaceX Launch Its Sixth Test Flight Of Starship Spacecraft

Elon Musk laughing

SpaceX merges with xAI, reportedly will seek an IPO valuation of $1.25 trillion

Elon Musk says his space company has merged with his AI company, with the lofty goal of eventually putting data centers in space.

Nate Becker2/2/26

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