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Elon Musk's xAI has acquired 1,156.62 acres in the Memphis area for the development of three data center campuses: Colossus, Colossus 2, and Macrohardrr. The Colossus campus includes plans for an $80 million Water Recycling Plant and solar farms to power its AI operations, with a 21-year lease of 522 acres to Seven States Power Corp for a solar farm.

The second campus, Colossus 2, is located on 186.13 acres purchased in February 2025. It is expected to require over a gigawatt of electricity and is under construction. The third campus, Macrohardrr, was announced in January 2026, with plans to increase xAI's training compute capacity to 2 gigawatts. Additionally, traffic control measures are being implemented at the intersection of Stateline Road and Tulane Road due to increased construction traffic.