Jan 8, 2026

xAI, the American artificial intelligence company founded by Elon Musk, is locating a data center in Southaven, Mississippi, making it the largest corporate investment in state history, Governor Tate Reeves announced on Thursday.

The project will exceed $20 billion and will create hundreds of permanent jobs throughout DeSoto County.

“This record-shattering $20 billion investment is an amazing start to what is sure to be another incredible year for economic development in Mississippi,” Reeves said. ”Elon Musk is bringing xAI to DeSoto County, a project that will transform the region and bring amazing opportunities to its residents for generations. It sets the pace for continued high-tech investments across our state and strengthens Mississippi’s position as a leader in this exciting tech revolution. There is truly no better time to invest in Mississippi.”

A release stated that in addition to building rehabilitation, xAI’s substantial investment will also provide tax revenue to support public safety, health and human services, education, firefighters, police, parks, and other initiatives that benefit the City of Southaven.

The company expects to begin data center operations in Southaven in February 2026.

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