
AI Infrastructure2026-05-26
WIRED AI
SpaceX Spending $2.8B on Gas Turbines for AI Data Centers
SpaceX is investing a staggering $2.8 billion to purchase gas turbines for its AI data centers, a move that underscores the enormous energy demands of artificial intelligence infrastructure. The investment comes as Elon Musk's AI company, xAI, faces mounting criticism over its carbon emissions, despite Musk's long-standing advocacy for solar energy and electric vehicles. The gas turbines will power massive computing clusters needed to train and run advanced AI models, highlighting the tension between AI growth and environmental sustainability. Critics argue that the fossil fuel-powered approach contradicts Musk's green credentials, while supporters note that renewable energy alone cannot yet meet the 24/7 power requirements of hyperscale data centers. xAI aims to become a major player in cloud computing, competing with giants like Google and Microsoft, but the environmental cost is raising eyebrows. The investment also reflects a broader industry trend: AI's insatiable appetite for electricity is driving a resurgence in natural gas and even coal plant usage. As AI scales, the question of how to power it sustainably becomes increasingly urgent. For now, Musk is betting on gas turbines to keep xAI competitive, even as the world watches the carbon footprint grow.