xAI Colossus 2

xAI has acquired a 1-million-square-foot site in the Whitehaven area of Memphis, Tennessee, to develop its second data center. This $80 million investment includes three parcels of land, featuring an existing warehouse and two adjacent sites totaling 100 acres. The location is strategically close to the Southaven Combined Cycle natural gas power plant, which generates 780MW of power, ensuring robust energy availability for the facility.

The planned data center will host up to 350,000 GPUs and is set to feature the world's largest deployment of Tesla Megapack batteries for backup power during high grid loads. xAI is also exploring sustainable cooling solutions, including a ceramic membrane bioreactor to recycle wastewater. This expansion underscores xAI's commitment to innovation, sustainability, and economic growth in Memphis, further solidifying the city's position as a hub for technological advancement.