Elon Muks’s xAI said it will buy $2.8 billion worth of natural gas turbines over the next three years, according to SpaceX’s IPO filing.
Gas turbines at xAI’s Colossus 2 data center have drawn a lawsuit over the company’s use of “mobile” gas turbines as power plants.
Natural gas power plant costs have nearly doubled in two years and take 23% longer to build as data center electricity demand skyrockets.
The large deal sees Arbor delivering as many as 200 of its Halcyon turbines, which can burn either natural gas or waste biomass.
If completed, the project would be among the largest and most expensive natural gas power plants.
Elon Musk’s AI company had installed and operated 35 natural gas turbines without permits, something the EPA now says was illegal.
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