Elon Musk's artificial intelligence company xAI will invest over $20 billion to build a massive data center in Southaven, Mississippi. Governor Tate Reeves called it the largest private investment in the state's history, with operations expected to begin in February 2026.
The facility, named MACROHARDRR, will be xAI's third data center in the greater Memphis area. The company has purchased and is retrofitting an 800,000 square foot building to house operations. CFO Anthony Armstrong confirmed the cluster will house "the world's largest supercomputer" with 2 gigawatts of computing power.
The project will create hundreds of permanent jobs plus thousands of indirect subcontracting positions in DeSoto County. Under incentives passed in 2024, Mississippi will waive all sales, corporate income, and franchise taxes on the development. Musk praised the "insane execution speed" achieved by xAI and state officials.