Mississippi Attorney General Seeks to Support xAI in Southaven Turbine Lawsuit
Mississippi's unemployment rate held steady at 3.8% through May, reaching a 10-year high for nonfarm payrolls. Concurrently, the state is embroiled in a legal battle concerning xAI's mobile gas turbines in Southaven. The NAACP has filed a lawsuit contending the turbines require a federal Clean Air Act permit, prompting Mississippi Attorney General Lynn Fitch to seek court permission to support xAI, citing economic benefits and national security.
Mississippi's economic landscape remains stable, with the state's unemployment rate holding at 3.8% through May and nonfarm payroll employment reaching a decade-high of 1,195,400. Governor Tate Reeves commended these figures, attributing them to a successful economic development strategy that has attracted billions in investment.
In a parallel development, a legal controversy has emerged regarding xAI's operations in Southaven. The NAACP has initiated a lawsuit, arguing that xAI's mobile gas turbines are subject to air permitting requirements under the federal Clean Air Act and calling for a halt to their operation until the necessary permits are secured. Mississippi Attorney General Lynn Fitch has formally requested court permission to intervene in support of xAI, asserting that the Mississippi Department of Environmental Quality does not deem the permits necessary and warning that any disruption to turbine operations could jeopardize economic advantages, jobs, and investment within the state. The Department of Justice also filed an amicus brief backing xAI, highlighting national security concerns tied to the company's artificial intelligence model, Grok, which has reportedly been utilized in military contexts.
Other economic news for the state includes an $8.89 million expansion by Keytronics in Corinth and a $14 million investment by Gould Industries to establish its first U.S. site in Summit. Mississippi also received a Golden Shovel Award for its growth in warehousing, manufacturing, and energy infrastructure. Energy sector discussions also touched upon Entergy Louisiana's plans to purchase a new power plant driven by demand from Meta's data center, with implications for ratepayers.