Tesla installed 720 Megapacks at xAI’s Memphis site, forming the largest grid-connected battery system in the United States. Estimated storage capacity reaches approximately 2.8 GWh, with projections potentially reaching 3.3 GWh, delivering between 720 MW and 1.4 GW depending on the model deployed. Between 2024 and mid-2026, xAI and its parent company SpaceX invested approximately $1 billion in Tesla Megapacks, including a single purchase worth $269 million in April 2026. SpaceX acquired xAI in February 2026, consolidating Elon Musk’s artificial intelligence ambitions under the same umbrella as his rocket company. This installation powers xAI’s Colossus 2 data center, one of the most power-hungry AI facilities in the world.
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