Startups & Funding

SpaceX keeps xAI's unpermitted turbines running until 2027

69 unpermitted turbines emit 2,000+ tons NOx yearly—DOJ backs SpaceX.

Deep Dive

SpaceX announced Thursday it will finally remove the unpermitted gas turbines powering xAI's Colossus data centers near Memphis—but not until July 2027. The company is currently running 69 gas turbines, many operating for months without permits, as it transitions to a permanent 1.2 gigawatt natural gas plant in Mississippi. The NAACP and Southern Environmental Law Center have sued over the pollution, noting the region is among the most polluted in the U.S. These turbines have the potential to emit more than 2,000 tons of smog-forming NOx per year. SpaceX argues the turbines don't require permits because they remain on the trailers they were shipped on—a claim federal regulations contradict based on their size and usage.

The legal battle has drawn federal support: the Department of Justice sided with SpaceX last month, calling the turbines a matter of "national, economic, and energy security." Meanwhile, SpaceX's IPO filing reveals plans to buy $2.8 billion worth of gas turbines over the next three years. Permit documents for the new permanent plant show 41 turbines ranging from 16.48 MW to 50 MW—apparently different from the current fleet. Notably, Elon Musk acquired APR Energy earlier this year, a temporary gas power specialist whose turbine fleet also differs from the new plant's specs. This suggests the new 1.2 GW plant's turbines are likely destined for another, unannounced project, while the existing unpermitted units keep humming until mid-2027.

Key Points
  • Spacex will keep 69 unpermitted gas turbines running until July 2027, powering xAI's Colossus data centers near Memphis.
  • Turbines can emit 2,000+ tons of NOx per year; NAACP and Southern Environmental Law Center have sued.
  • DOJ sided with SpaceX on national security grounds; SpaceX plans $2.8B in new turbines, likely for another project.

Why It Matters

This sets a precedent for AI infrastructure bypassing environmental permits under national security claims, affecting data center regulation nationwide.

📬 Get the top 10 AI stories daily