xAI Faces Lawsuit Threat Over Unpermitted Mississippi Gas Turbines

NAACP and environmental groups allege xAI is operating illegal turbines that worsen air quality in Memphis area

Published on Feb. 13, 2026

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xAI, Elon Musk's artificial intelligence company, is facing potential legal action from the Southern Environmental Law Center (SELC) and Earthjustice, representing the Mississippi State Conference of the NAACP and the national NAACP. The groups allege that xAI has installed 27 unpermitted methane gas turbines at its Colossus 2 data center in Southaven, Mississippi, which emit pollutants linked to respiratory problems, heart issues, and cancer.

Why it matters

This dispute highlights growing concerns about the environmental impact of data centers, which require massive amounts of energy to operate. The NAACP argues that xAI's actions exacerbate existing environmental injustices faced by frontline communities in the Memphis area, which already suffers from poor air quality.

The details

The NAACP alleges that the 27 gas turbines at Colossus 2 are capable of generating 495 megawatts, equivalent to a conventional power plant, but xAI did not secure the necessary permits. These turbines emit pollutants linked to respiratory problems, heart issues, and cancer, including smog-forming pollution, fine particulate matter, and formaldehyde. This is not the first time xAI's practices have come under scrutiny, as the company faced similar allegations regarding unpermitted turbines at its Colossus 1 facility in Memphis in 2025.

  • On February 13, 2026, the SELC and Earthjustice issued a notice of intent to sue xAI over the unpermitted turbines.
  • In June 2025, the SELC threatened similar legal action regarding unpermitted turbines at xAI's Memphis facility, Colossus 1.

The players

xAI

Elon Musk's artificial intelligence company that is facing allegations of operating unpermitted methane gas turbines at its Colossus 2 data center in Southaven, Mississippi.

Southern Environmental Law Center (SELC)

A non-profit environmental law organization that is representing the Mississippi State Conference of the NAACP and the national NAACP in the lawsuit threat against xAI.

Earthjustice

A non-profit environmental law organization that is representing the Mississippi State Conference of the NAACP and the national NAACP in the lawsuit threat against xAI.

Mississippi State Conference of the NAACP

The state chapter of the NAACP that is involved in the lawsuit threat against xAI.

NAACP

The national civil rights organization that is involved in the lawsuit threat against xAI.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee (Instagram)

What’s next

The notice of intent to sue initiates a 60-day period before a lawsuit can be filed under the Clean Air Act. SELC Senior Attorney Patrick Anderson stated that xAI is 'breaking the law' and that the organizations 'plan to grab them to court.' xAI is also planning a third data center in Southaven, Mississippi, but has not yet disclosed its power source.

The takeaway

This case highlights the growing concerns about the environmental impact of data centers and the need for companies like xAI to prioritize public health and sustainability over profit. It also underscores the important role of environmental justice organizations in holding corporations accountable and advocating for equitable access to a healthy environment.