Elon Musk's SpaceX has committed to spending over $2.8 billion on gas turbines to power its artificial intelligence data centers, according to recent regulatory filings.
The investment underscores Musk's ongoing commitment to portable generators despite public complaints about pollution and environmental concerns, which have prompted lawsuits and inquiries from regulators.
As the US experiences a shortage of electricity, gas turbines are seen as a quick fix until more permanent energy solutions become available. SpaceX's AI unit, xAI, operates two data centers in Memphis and Southaven, Tennessee, respectively, with additional deals to lease servers for $15 billion annually from Anthropic.
The details emerge in the company's IPO prospectus, designed to inform potential investors about SpaceX’s financial health and risks. In March, SpaceX agreed to buy $805 million worth of turbines over eight years, followed by a deal that could be worth up to $2 billion.
As demand for power grows, SpaceX plans to expand its data center operations, increasing its energy needs despite the environmental concerns surrounding its use of gas turbines.
