Elon Musk's xAI wins permit to build power plant in Mississippi despite pollution concerns
News ClipCNBC·Southaven, DeSoto County, MS·3/10/2026
Elon Musk's artificial intelligence company xAI, now owned by SpaceX, was granted a permit by the Mississippi Department of Environmental Quality to build a 41-turbine natural gas power plant in Southaven, Mississippi despite opposition from civil rights and environmental groups over pollution concerns. The plant will power xAI's nearby data centers in Memphis, Tennessee.
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Gov: Mississippi Department of Environmental Quality, NAACP
Elon Musk's artificial intelligence company xAI has been authorized by the Mississippi Department of Environmental Quality to build a 41-turbine power plant in Southaven to power its nearby data centers. The NAACP and environmental advocates opposed the decision, arguing it conflicts with local elections and fails to address community concerns over pollution. However, the MDEQ stated the permit met legal requirements. The NAACP plans to sue xAI over its use of turbines without federal permits, claiming the company understated pollution levels. Southaven residents have also protested the noise and environmental impact of xAI's operations. As Musk pursues a potential SpaceX IPO, the Southaven facility is critical to powering the company's AI infrastructure.