SpaceXAI Adds Two Mississippi Campuses, 420,000 GPUs for Colossus 2

SpaceXAI is adding roughly 420,000 Nvidia GB300 GPUs across two new data center campuses in Southaven, Mississippi, CEO Elon Musk announced, in the latest expansion of the company's Colossus 2 buildout.

The two sites carry unusual names drawn from their past lives. Gun Range, a former police and fire training center, will host a high-performance AI training cluster. Spam is a repurposed warehouse that once stored products from Hormel Foods, the maker of Spam, and will be optimized for inference workloads.

Gun Range will hold two single-story buildings on a 55.9-acre parcel. Spam gets a single-story warehouse on 53 acres, converted into a data center.

Musk has already walked the ground personally. "I walked the whole Colossus 2 site around midnight and again this morning. Good progress by the SpaceX team and contractors," he wrote on X. He added: "Gun Range is tracking to be operational by end of November and Spam in December."

How big is the full Colossus 2 footprint?

The new campuses join three existing locations — Macrohard, Macroharder, and Minihard — which are set to host 330,000, 220,000, and 220,000 GPUs respectively. Put together, that's a five-site complex.

Musk said the total fleet should reach around 1.2 million Blackwell GPUs deployed at Colossus 2 by the end of 2026. For context, that's roughly 1.8 times the combined capacity of the three previously announced sites.

Where did the Mississippi expansion come from?

SpaceXAI's data center portfolio started in Memphis, Tennessee, in 2024, when it launched the original Colossus supercomputer in a former Electrolux factory in the city's Boxtown district. The company uses these facilities to run its Grok AI chatbot.

Colossus 2 came next. SpaceXAI bought the site in March 2025, and the data center came online in January. Musk claimed 1GW of capacity at launch, though satellite imagery taken in January reportedly showed cooling equipment installed for only 350MW — a gap practitioners will read carefully when sizing the new sites' power claims.

The third data center, announced in January 2026 and located in Southaven, surfaced publicly in March through a construction permit filing for a $659 million building on an adjacent land parcel. Minihard was confirmed in July 2026, with construction underway on Tulane Road near the Tennessee-Mississippi border.

What's the regulatory hangover?

The expansion isn't proceeding without friction. Last month, SpaceXAI disclosed a notice from the Mississippi Department of Environmental Quality alleging that "disturbing construction activities at sites occurred prior to coverage under Mississippi's Large Construction Stormwater General Permit."

The notice went to MZX Tech LLC, a SpaceXAI subsidiary. It stated that "MDEQ is seeking civil penalties of up to $25,000 per day, with preliminary claimed exposure of approximately $6.1 million across three sites." That's a real number for anyone tracking the project's all-in cost.

Does the business model matter for operators?

Yes, if you're shopping for compute. In recent months SpaceXAI has started renting its data centers to third parties, signing major capacity agreements with Reflection, Anthropic, and Google. Two more Mississippi campuses coming online in November and December mean more sellable capacity — and more competition in an already tight market for large-scale AI infrastructure.