The world's largest AI supercomputer, created by Elon Musk's xAI, is now powered by Tesla Megapack batteries and clean energy in Memphis.
A company XAI, the company that develops Elon Musk's AI, has completed a technological and energy milestone in the United States. The Colossus supercomputer, developed to train artificial intelligence, now runs on electrical power supported by Tesla Megapack batteries.
The facility reached full Phase I capacity less than a year after construction began.
Infrastructure in Memphis
Located in Memphis, Tennessee, Colossus is touted as the world's largest AI supercomputer.
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Its main function is to train the Grok language model, used in the social media service X.
To operate stably, the installation was connected to a new electrical substation and received additional support from Tesla batteries.
Electricity is supplied by Memphis Light, Gas and Water (MLGW) and the Tennessee Valley Authority (TVA), totaling 150 megawatts.
This same capacity was replicated in the Tesla Megapack batteries, used as an energy reserve.
High-capacity batteries to train Elon Musk's AI
each unit of megapack has the capacity to store 3.900 kWh, the equivalent of charging 62 Tesla Model 3 rear-wheel drive vehicles.
With this system, xAI can maintain uninterrupted operations, even in cases of power outages, network instability or consumption spikes.
The system also allows electricity to be sold back to the grid during times of high demand.
According to the Greater Memphis Chamber, Musk's company has already invested around $230 million in Megapacks between January 2024 and February 2025.
Commitment to Memphis
The city's Chamber of Commerce said the partnership between xAI and Tesla represents a step forward for the region's energy infrastructure.
The facility participates in MLGW's Demand Response program and studies ways to provide power to the local community during emergencies or supply crises.
According to an official note, the Megapack system was installed precisely to ensure that the supercomputer continues to operate even during critical periods for the electrical grid. This includes events such as consumption spikes or technical failures.
Transition to sustainable energy
Before the connection to the new substation, the facility depended on temporary natural gas turbines. With the arrival of electricity and Megapacks, these turbines began to be removed.
Only half will remain active during Phase II, which will include a second substation under construction. After completion, the turbines will be kept only as backup.
The Greater Memphis Chamber noted that this change represents an important step forward in the quest for energy sustainability. Replacing natural gas with Megapacks significantly reduces the use of fossil fuels.
Impact on the future of AI by Elon Musk
The move cements xAI and Tesla's vision of operating large technology infrastructures with a lower environmental impact.
With clean energy stored in batteries, Colossus gains more stability and the ability to operate continuously, which is essential for training AI systems like Grok.
The union between advanced computing and renewable energy can mark a new path for the development of artificial intelligence on a large scale. At the same time, it strengthens the local economy with cutting-edge infrastructure.
The expectation is that, with the expansion of xAI in Memphis, the city will also advance in the technological and energy innovation scenario.