SpaceXAI Plans Yearlong Removal of Unpermitted Gas Turbines

SpaceX is set to eliminate the unpermitted gas turbines currently powering its SpaceXAI data center operations near Memphis, Tennessee, by July 2027, according to a recent update shared by TechCrunch. These turbines are central to an ongoing lawsuit filed by the NAACP, which claims that the company is endangering nearby communities through hazardous emissions and pollution.

To address this issue, SpaceX plans to build a new 1.2GW power facility in Mississippi, which will operate under a Clean Air Act permit and will eventually replace the 69 unpermitted gas turbines currently in use. Under an agreement with the Mississippi Department of Environmental Quality, the removal process for the temporary turbines is scheduled to commence in August 2026, with full removal anticipated by July 2027.

In February 2026, SpaceX acquired xAI, aiming to expand its reach into space-based data centers, complementing its established ventures in rocket technology and satellite internet. Shortly after the acquisition, in April, the NAACP filed a lawsuit against xAI, alleging that the operation of the unpermitted turbines violated the Clean Air Act. The lawsuit emphasizes the severe health risks associated with pollution exposure, such as asthma, respiratory illnesses, heart disease, and cancer. Despite these allegations, SpaceXAI reported this week that its data indicates local air quality continues to meet or exceed EPA standards.

In June, the Justice Department filed a motion to dismiss the NAACP lawsuit, but the case is still progressing. While SpaceX’s agreement to remove the turbines represents a positive development for residents near its operations in Tennessee and Mississippi, it is unlikely to hinder the company’s expansion of AI infrastructure. SpaceX has already finalized new contracts to provide data center capacity to both Anthropic and Google.