Reports from the Greater Memphis Chamber or credible economic analysis publications

Elon Musk's xAI to Expand Memphis Supercomputer Tenfold to Over 1 Million GPUs

Dec 5, 2024, 04:14 AM

Elon Musk's artificial intelligence startup xAI is planning a massive expansion of its Colossus supercomputer facility in Memphis, Tennessee. The company aims to increase the number of graphics processing units (GPUs) from the current 100,000 to over one million GPUs, representing a tenfold increase. xAI has secured priority access to $1.08 billion worth of NVIDIA GB200 AI servers to support this growth. This expansion, expected to cost tens of billions of dollars, is intended to propel xAI ahead of competitors such as Google, OpenAI, and Anthropic. The Greater Memphis Chamber announced that the project will involve partnerships with Nvidia, Dell, and Supermicro Computer, which will bring operations to Memphis. The Colossus supercomputer, already one of the largest in the world, is central to xAI's ambitious AI goals.