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Jon Keegan

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.

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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Intel pops on reported Apple chip deal

Intel soared more than 14% on a Wall Street Journal report saying the company has reached a preliminary agreement with Apple to manufacture chips for the iPhone maker. Intel, already on a tear as of late, jumped earlier this week when Bloomberg first reported the two companies were in talks. It’s still unclear which chips Intel would manufacture for Apple, which has been facing supply constraints for its iPhone as well other products.

In any case, the deal could help Apple ease supply constraints that have hit some of its products and reduce its reliance on longtime partner TSMC, as it aims to bring more chip manufacturing stateside.

In any case, the deal could help Apple ease supply constraints that have hit some of its products and reduce its reliance on longtime partner TSMC, as it aims to bring more chip manufacturing stateside.

Microsoft CEO Satya Nadella (R) greets OpenAI CEO Sam Altman during the OpenAI DevDay event

Emails show Microsoft wasn’t impressed by OpenAI’s early work, but wanted to keep it from Amazon

OpenAI wanted further Azure computing discounts, but Microsoft didn’t think it was on the verge of a breakthrough.

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Wedbush’s Dan Ives raises Apple price target to $400 on $15 billion AI services opportunity

Apple may not have a frontier AI model or a fully functional AI assistant, but that won’t stop the company from throwing its weight around in the “AI revolution,” according to Wedbush Securities analyst Dan Ives. That’s enough for Ives to raise his price target for Apple shares to $400 from $350.

Underpinning that jump is what Ives sees as a $15 billion annual revenue opportunity for Apple in AI services from monetizing other companies’ models by distributing them to its 2.5 billion iOS users. Ives estimates that in the coming years, roughly 20% of the world’s population will access AI through an Apple device, calling it the “consumer hub of AI.”

That new era, Ives expects, will officially kick off at Apple’s developer conference in June, where he expects Apple to “finally unveil its AI strategy.”

tech

Tesla’s Model Y just cleared a new federal safety bar

The National Highway Traffic Safety Administration announced today that Tesla Model Ys manufactured after November 12 were the first to pass the agency’s new advanced driver assistance system tests, which are now part of the New Car Assessment Program. According to NHTSA, Tesla tested the 2026 Model Y and submitted the test results to the organization for review.

“By successfully passing these new tests, the 2026 Tesla Model Y demonstrates the lifesaving potential of driver assistance technologies and sets a high bar for the industry,” NHTSA Administrator Jonathan Morrison wrote in the press release. “We hope to see many more manufacturers develop vehicles that can meet these requirements.”

The new tests include:

  • Pedestrian automatic emergency braking

  • Lane-keeping assistance

  • Blind spot warning

  • Blind spot intervention

The milestone offers Tesla highly coveted regulatory validation, as it seeks to spur usage of its Full Self-Driving (Supervised) tech.

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