xAI to Develop Second AI Data Center in Memphis
**Title: xAI to Develop Second AI Data Center in Memphis**
By Anissa Gardizy
5 hours ago
Source: The Daily Memphian
Elon Musk's artificial intelligence company xAI purchased a 1-million-square-foot warehouse in Memphis, Tenn., which it plans to use for its second data center for AI in the area, an executive told The Daily Memphian.
Brent Mayo, an xAI manager who worked on xAI's first Memphis data center, known as Colossus, said the new building could house 350,000 chips, though the report didn't specify which kind. Mayo previously told the Greater Memphis Chamber that xAI planned to have one million graphics processing units—specialized server chips for AI—in the city to train and run Grok, its AI chatbot. It previously strung together 100,000 GPUs for Colossus.
xAI has been able to move quickly in setting up GPU clusters in part because it converted existing buildings into data centers rather than building them on undeveloped land. The startup's speed has alarmed rivals, including OpenAI and Meta Platforms. The Information reported that xAI was looking for a new data center so that it could buy more Nvidia chips.