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Justice Department Backs xAI in Lawsuit Over Unpermitted Data Center Turbines

ByJolyen

Jun 18, 2026

Justice Department Backs xAI in Lawsuit Over Unpermitted Data Center Turbines

The US Department of Justice has supported xAI in a lawsuit seeking to stop the company from operating dozens of natural gas turbines at its Colossus 2 data center in Southaven, Mississippi. The department argued that restricting the power supply could affect AI systems used for US military and national security operations.

The NAACP filed the lawsuit against xAI and its infrastructure subsidiary, MZX Tech, in April. The case alleges that the companies operated gas turbines without permits required under the federal Clean Air Act.

Justice Department Cites National Security

In a court memorandum filed Monday, the Justice Department said an order shutting down the turbines could affect “American national, economic, and energy security.” It said Grok was one of four AI models supporting mission-critical government operations, including recent US military activity involving Iran.

The department joined xAI and the state of Mississippi in asking the court to dismiss the case. The filing follows an earlier notice in which the Justice Department said the dispute could affect federal policies concerning AI infrastructure.

The government’s position places military and AI infrastructure needs against the environmental claims raised by the plaintiffs. The court has not yet decided whether xAI must stop operating the disputed equipment.

NAACP Challenges Turbine Exemption

The NAACP’s lawsuit was filed by the Southern Environmental Law Center and Earthjustice. It initially identified 27 turbines operating without permits at the Colossus 2 facility, while later reports placed the number at 57.

xAI has argued that trailer-mounted turbines can operate for up to one year without being treated as permanent stationary sources. The plaintiffs dispute that interpretation and say federal rules can still classify mobile turbines as stationary equipment when they remain at one location.

The lawsuit asks the court to stop the unpermitted turbines, require stronger pollution controls, and impose financial penalties. The NAACP has said nearby communities already face significant industrial pollution.

Pollution Levels Draw Health Concerns

The turbines emit pollutants including fine particulate matter, formaldehyde, and nitrogen oxides. The plaintiffs say the number of turbines and the related emissions have increased since the data center began operating.

Fine particulate matter and nitrogen oxides have been associated with respiratory and cardiovascular conditions, while formaldehyde is classified as a cancer risk. The Southern Environmental Law Center says the turbines have operated without adequate public review or pollution controls.

xAI became part of SpaceX before the space company’s public listing. SpaceX’s IPO materials said it expects to purchase about $2.8 billion in gas turbines for AI data centers over three years, including at least $2 billion for mobile units.


Featured image credits: Wikimedia Commons
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Jolyen

As a news editor, I bring stories to life through clear, impactful, and authentic writing. I believe every brand has something worth sharing. My job is to make sure it’s heard. With an eye for detail and a heart for storytelling, I shape messages that truly connect.

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