via TechCrunch AI
DOJ claims xAI’s unpermitted gas turbines are a matter of ‘national, economic, and energy security’
The Department of Justice on Monday sided with xAI in a lawsuit seeking to halt the company’s use of dozens of unpermitted natural gas turbines at its Memphis data centers, according to Wired. The DOJ argued that if the NAACP—which filed the suit in April—prevails, the result would undermine “American national, economic, and energy security by seeking to shut off the power supply for artificial-intelligence innovation that supports the Department of War’s military operations.”
The memorandum stated that Grok is one of four AI models supporting “mission-critical operations,” including recent strikes in Iran.
The NAACP first signaled its intent to sue xAI in June 2025, aiming to stop the company from operating “mobile” gas turbines at its Colossus and Colossus 2 data centers. Those efforts failed, and Elon Musk’s AI company has since expanded its fleet to 57 turbines. Because the turbines remain on trailers, xAI claims they are exempt from Mississippi air pollution regulations for one year. However, the Southern Environmental Law Center, representing the NAACP, argues that federal law considers trailer-mounted turbines stationary when used continuously, making them subject to regulation.
The NAACP contends that the Memphis area—already one of the most polluted in the country—has experienced worsening air quality since the data centers went online. Since 2025, the number of turbines has more than doubled, resulting in increased emissions of PM2.5, formaldehyde, and nitrogen oxides (NOx). These pollutants are linked to asthma, cardiovascular disease, cancer (formaldehyde), and neurological conditions such as Alzheimer’s disease (PM2.5).
xAI, now a division of SpaceX, plans to continue expanding its turbine fleet. In SpaceX’s 2026 IPO filing, the company disclosed it will spend an additional $2.8 billion on gas turbines to power its AI data centers over the next three years, with at least $2 billion designated for “mobile gas turbines.”