--- title: "Musk’s xAI is being sued over its data center generators. Now, it’s buying $2.8B more." type: "News" locale: "en" url: "https://longbridge.com/en/news/287124887.md" description: "Elon Musk’s xAI is facing a lawsuit over its use of polluting generators at a Tennessee data center while planning to purchase $2.8 billion more turbines. The NAACP has filed for an injunction against xAI for operating unregulated gas turbines that worsen air quality. xAI claims it can operate these 'mobile' turbines without permits, exploiting regulatory discrepancies. However, the EPA has ruled that xAI is violating federal air-pollution laws, which could adversely affect its AI business." datetime: "2026-05-20T21:57:18.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/287124887.md) - [en](https://longbridge.com/en/news/287124887.md) - [zh-HK](https://longbridge.com/zh-HK/news/287124887.md) --- # Musk’s xAI is being sued over its data center generators. Now, it’s buying $2.8B more. Elon Musk’s xAI has gotten itself in hot water over its use of polluting generators at its data center near Memphis, Tennessee. Now, it wants to buy even more of them. In SpaceX’s IPO filing, released Wednesday, the company said its xAI division will buy another $2.8 billion worth of turbines for its AI infrastructure over the next three years. One deal, worth $2 billion, is specifically for “mobile gas turbines,” the kind that it’s currently being sued over. The NAACP filed a lawsuit against xAI last month for operating dozens of unregulated gas turbines that worsen air quality in one of the most polluted parts of the country. The organization has sought an injunction against xAI’s use of the turbines. So far, xAI has been granted permits for 15 turbines. As of a few weeks ago, it was using 46. Each of the types of turbines xAI is operating have the potential to emit more than 2,000 tons of NOx pollution annually, a group of chemicals that contributes to asthma-inducing smog. The company claims that it can operate the turbines for up to a year without permits because they are “mobile” — that is, they’re still on the trailer they were shipped on. The company appears to be exploiting a discrepancy between state and federal interpretations. Mississippi claims it doesn’t need to permit mobile generators. But federal regulations say that turbines of that size, even if they’re on a trailer, are still subject to air-pollution regulations. The EPA ruled earlier this year that xAI was operating the turbines in violation of federal law. SpaceX acknowledges the risks in its IPO filing. “We currently rely significantly on natural gas and gas turbine technology to power our data center operations,” it wrote. Injunctions or rescinded permits “would adversely affect our AI business.” ### Related Stocks - [TSLA.US](https://longbridge.com/en/quote/TSLA.US.md) ## Related News & Research - [SpaceX says it may issue ‘significant’ equity in ‘future transactions’](https://longbridge.com/en/news/288303426.md) - [SpaceX’s xAI just bought another $269M of Tesla Megapacks](https://longbridge.com/en/news/288725723.md) - [Generac's 3.25MW Generator Named Gold Winner in 2026 Consulting-Specifying Engineer Product of the Year Awards | GNRC Stock News](https://longbridge.com/en/news/288563634.md) - [British lawmaker sues Musk's xAI over sexualised Grok images](https://longbridge.com/en/news/288616801.md) - [Ten Trump Officials Sit On Up To $44 Million In Record SpaceX IPO: 'No Analogs,' Ethics Lawyers Say](https://longbridge.com/en/news/288595681.md)