NAACP lawsuit against SpaceX AI division to proceed in Mississippi court

SpaceXAI is accused of using gas-fired combustion turbines to power its Colossus data centers in the Greater Memphis area, specifically in Southaven, Mississippi. The construction of these data centers and a related power plant has drawn criticism from the local community.

The NAACP’s suit claims that between August and December 2025, xAI and its subsidiary MZX Tech installed and operated 27 gas turbines without the necessary air permits, potentially endangering the health of nearby residents. These turbines are alleged to release pollutants and particulate matter, causing health risks and unpleasant odors.

SpaceXAI had argued that its turbines were “mobile” and therefore exempt from permitting, and that the NAACP lacked the legal standing to bring the suit. The judge rejected these arguments, stating that the plaintiffs have standing under the Clean Air Act, the turbines are not considered “mobile sources” under Mississippi regulations, and the citizen suit provision is constitutional.

This ruling follows a similar decision earlier this month where the same court denied a request from the Department of Justice to dismiss the case. SpaceX has not yet commented on the court’s decision.