It is set to serve as a direct energy source for SpaceXAI’s data facilities.
Earlier this year, Elon Musk made a significant acquisition by purchasing APR Energy, marking a new addition to his business ventures in the fossil fuel sector. APR specializes in producing mobile gas and diesel turbines that can be easily transported. This acquisition occurred relatively unnoticed in May, without any formal announcement from Musk or APR. Reports indicate that the valuation of the deal is approximately $1 billion.
This acquisition is expected to primarily support AI data centers, which require substantial energy to operate effectively. APR’s mobile turbine fleet is similar to the turbines involved in a lawsuit against Musk’s xAI, which faced allegations of violating the Clean Air Act at a data center in Southaven, Mississippi. Since the lawsuit was initiated, there has been a notable increase in the number of mobile turbines at that center. The Department of Justice is currently attempting to dismiss the lawsuit to allow the U.S. military to continue utilizing xAI’s Grok for its operations.
This shift towards investing in gas and diesel represents a significant departure from Musk’s previous stance a decade ago when he described the reliance on fossil fuels as “the dumbest experiment in history.” His business endeavors may exacerbate this issue by potentially expanding into a natural gas pipeline project in Texas.
