Memphis

Memphis Chamber Debunks Rumors, Confirms xAI Dismantling Turbines Amid Shift to TVA Power

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Published on May 09, 2025
Memphis Chamber Debunks Rumors, Confirms xAI Dismantling Turbines Amid Shift to TVA PowerSource: Google Street View

The Greater Memphis Chamber has clarified its stance on the future operations of xAI’s energy infrastructure in Memphis, refuting rumors that the artificial intelligence company was planning to move its controversial gas turbines from one data center location to another within the city. According to an announcement earlier this week, which was reported by Action News 5, xAI is actively dismantling about half of the methane-powered turbines that currently serve its new supercomputer facility.

The downsizing comes with the commissioning of a newly-constructed electronic substation, which is set to provide the data center with power from the Tennessee Valley Authority (TVA). The obtained 150 megawatts from TVA will reduce the reliance on the methane turbines, though the remaining installations will be kept operational as back-up until a second substation is completed this fall. These updates contradict allegations that indicated xAI's intention to multiply its turbine presence in Memphis.

Further dispelling rumors, the Greater Memphis Chamber issued a statement, mentioned in a Local Memphis report, confirming that there are "no plans to construct turbines at its Tulane Road data center." This comes after documents surfaced suggesting that between 40 to 90 methane gas turbines could be slated for the Tulane Road facility. The statement also highlights that xAI will be evaluating various power solutions for its facilities, working within the city's regulatory framework.

The debate over xAI's use of natural-gas turbines has been a matter of public concern, with residents urging officials to deny permits for operation due to environmental implications. In response to these concerns, xAI "is demobilizing turbines in Shelby County," according to a Daily Memphian article. This decision underlines a shift towards a more traditionally sourced electrical grid and potentially alternative energy solutions in the future. 

Memphis-Science, Tech & Medicine