Data Center Backlash
Memphis, Tennessee & Southaven, Mississippi

xAI Colossus & Colossus 2

In litigation
xAI

xAI's supercomputer facilities have been powered in part by on-site methane gas turbines, many of which operated without air permits, according to litigation brought by the NAACP and Earthjustice under the Clean Air Act. Residents of the predominantly Black Boxtown neighborhood cite health concerns. The Shelby County Health Department granted permits in July 2025, which opponents appealed; in June 2026 the U.S. Justice Department intervened on xAI's side, citing national security. The facilities have kept operating. Update (Sept 2026): the federal injunction hearing was postponed; xAI agreed with Mississippi regulators to remove its temporary turbines by July 2027; and new suits arrived — a federal noise-nuisance class action and a $30M wrongful-death claim over a worker’s fall (Lieff Cabraser · Action News 5). Update (Oct 2026): a federal judge denied the Justice Department's bid to dismiss the NAACP's Clean Air Act suit, so it proceeds; an xAI subsidiary is offering to buy homes near the Southaven turbines; and Memphis City Council's proposed 12-month moratorium failed on a 6–6 vote (IBTimes · Mississippi Today · WSMV).

Last reviewed October 23, 2026. Something out of date or wrong? Send a correction, anonymously if you like.

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