SpaceX Plans Major Data Center Expansion in Texas

SpaceX is reportedly making significant moves to expand its artificial intelligence computing capabilities with plans for at least one new large-scale data center in Texas. The Information reported on Wednesday, citing sources familiar with the matter, that the company has been exploring various potential sites across Texas in recent months.

This expansion aims to substantially boost SpaceX's AI computing capacity, which currently operates out of its Memphis-area hub. This existing facility houses two data centers with approximately 1 gigawatt of compute power. The Texas expansion is envisioned to be on a similar or even larger scale than the current Memphis operations.

SpaceX is considering a multi-faceted approach for its Texas facilities, which includes building multiple data centers from the ground up and potentially retrofitting an existing warehouse. In preparation for this expansion, the company has reportedly already relocated some of its existing data center staff to Texas.

The move aligns with SpaceX's broader strategy to monetize its AI infrastructure. The company has recently entered into significant AI computing deals, including one with Anthropic in May and another with Google in June. These agreements underscore SpaceX's growing role in providing AI computing resources beyond its core aerospace business.