Elon Musk says xAI will increase data center capacity 7x by 2027 — targeting 10 gigawatts of compute, up to $500 billion in revenue by the end of next year
Elon Musk expects xAI to increase its nameplate power draw to 10 GW by late 2027, which will increase its performance by orders of magnitude what is available to AI today.
Elon Musk revealed to SpaceX employees that the data centers of xAI, the artificial intelligence division of SpaceX, will increase their power capacity by seven times by the end of 2027. This expansion will result in a compute capability of 10 gigawatts, potentially generating between $300 billion and $500 billion in annual revenue.
Currently, xAI's data centers in Memphis and Southaven have a rated power draw of 1.4 gigawatts. The company aims to boost its electrical capacity to 10 gigawatts, which is approximately sevenfold the current capacity. Musk emphasized that this growth will outperform all supercomputers on the Top 500 list and AI clusters in operation today.
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