Elon Musk planning to build multibillion-dollar AI supercomputer in Memphis

  • Elon Musk’s start up xAI is planning on building a supercomputer
  • Musk recently revealed the company had raised $6 billion
  • The supercomputer will be built in Memphis

Published on Jun 07, 2024 at 11:26 AM (UTC+4)
by Claire Reid

Last updated on Jun 07, 2024 at 7:24 PM (UTC+4)
Edited by Tom Wood

Elon Musk is set to build his multibillion-dollar AI-powered supercomputer in Memphis.

Musk and the team from his startup xAI have their sights set on building the largest supercomputer in the world – and it seems as though they’ve now settled on a city to get the project underway. 

The  Greater Memphis Chamber – a local nonprofit funded by the city’s private business community – shared the news on Wednesday (June 5) saying it will be the ‘largest capital investment by a new-to-market company in Memphis history’. 

READ MORE! Elon Musk is the world’s richest person again thanks to a new startup

Ted Townsend, president of the Greater Memphis Chamber, said: “We have work to do, make no mistake. 

“But we’re really incredibly grateful for the interest from Elon and his executives and the xAI team.

Musk confirms news of the supercomputer on X

Appearing to confirm the news on his social media site X, Musk responded to a clip showing footage of Greater Memphis Chamber’s press conference announcing plans for Memphis, writing simply: “True”. 

In a statement to Bloomberg commenting on the project, Memphis Mayor Paul Young said: “We had an ideal site, ripe for investment.

“And we had the power of our people who created new and innovative processes to keep up with the pace required to land this transformational project.

“We like to say that innovation is in our DNA — from the birth of the modern-day hotel, grocery store, and overnight delivery to groundbreaking medical discoveries, the blues and rock ‘n’ roll.

“We are a city of innovators, and it makes sense that Memphis feels like home to those seeking to change the world.”

Musk’s xAI startup has pulled in a lot of cash

Musk launched xAI last July to compete with ChatGPT creator OpenAI.

The startup has helped Musk gain the title of the richest person alive, reclaiming the title from French luxury goods tycoon Bernard Arnault.

Earlier this month, the 52-year-old announced xAI had raised $6 billion at an $18 billion pre-money valuation.

Musk isn’t the only big name planning to build a supercomputer – according to reports from earlier this year, OpenAI and Microsoft are joining forces to build their own $100 billion AI supercomputer. 

Dubbed ‘Stargate’, the supercomputer will span across acres of land and require up to 5 gigawatts of power

# Tags - AI, Elon Musk, Tech


Claire Reid

Claire Reid is a journalist who hails from the UK but is now living in New Zealand. She began her career after graduating with a degree in Journalism from Liverpool John Moore’s University and has more than a decade of experience, writing for both local newspapers and national news sites. Across her career she's covered a wide variety of topics, including celebrity, cryptocurrency, politics, true crime and just about everything in between.