Feb. 12, 2026, 9:56 a.m. ET
The board of directors for the Tennessee Valley Authority, the nation’s largest public utility, unanimously approved a power use deal Feb. 11 that doubles the amount of electricity Elon Musk’s xAI can take from the TVA grid.
The artificial intelligence company founded by Musk is now able to use an additional 150 megawatts of electricity for its Memphis-area operations. TVA requires its board vote before the utility approves new power loads of 100 megawatts or more.
The request was conditional, TVA chief business officer Jeremy Fisher told the board.
The company, Fisher said, has to show it is stable, reliable and won’t raise costs for customers. xAI has met requirements set by Memphis Light, Gas & Water, the local utility that buys power from TVA, he said.
“This additional load requested is consistent with the contract we have in place for Memphis Light, Gas & Water,” Fisher told the board.
One megawatt equals 1 million watts of power. The average U.S. household, according to the U.S. Energy Information Administration, uses about 899,000 watts per month.
The board’s Feb. 11 vote was one of its first following nearly a year of gridlock triggered by President Donald Trump firing three Biden-appointed board members. It follows the board’s decision in 2024 to sign off on a 150-megawatt power agreement with the company.
TVA’s board was without the five-member quorum needed to conduct regular business through much of 2025 until the U.S. Senate confirmed four Trump nominees to the board late last year. The new members were sworn into office in 2026.
What is xAI doing in Memphis?
Elon Musk, formerly a close associate of Trump and an instrumental figure in the Department of Government Efficiency, founded xAI in 2023. A subsidiary of Musk’s SpaceX, xAI produces Grok and is powered by a massive supercomputer.
xAI has announced three Memphis campuses so far, including data centers to support a supercomputer and plans for a water recycling plant and solar energy.
The project’s backers, including Memphis Mayor Paul A. Young, have touted what they say are projected financial benefits for Memphis residents. Critics, including community members and civil rights groups, have taken aim at pollution they say has been prompted by the project.
Mariah Franklin reports on technology and energy for Knox News. Email: mariah.franklin@knoxnews.com. Signal: mariahfranklin.01















