Musk's commercial empire "crossover integration": Tesla, Inc. (TSLA.US) batteries power xAI supercomputer.

Elon Musk's xAI is using Tesla, Inc.'s Megapack batteries to support its "Colossus" supercomputer in Memphis, another example of overlapping interests among Musk's companies. The Greater Memphis Chamber announced in a press release on Wednesday that the system has added Megapack batteries to help cope with power outages and increased demand. The business organization said the xAI project recently connected to a new substation that can provide 150 megawatts of power. Musk's AI startup quickly took action to build the facility in two phases, and has faced criticism from environmental organizations for using natural gas turbines. With the completion of the first phase of the project, some turbines will be dismantled. The use of the 150 megawatt Megapack also highlights the cooperation among Musk's five companies. According to recent filings from Tesla, Inc., xAI spent approximately $230 million on Megapacks from January 2024 to February of this year. Musk also heads SpaceX, Neuralink, and The Boring Company. While Tesla, Inc. is known for its electric cars, it is not just an automotive company. The company's mission is to "accelerate the world's transition to sustainable energy," and its energy division is seen as a growing business as car sales decline. Utility-grade batteries like the Megapack are needed to store power from wind and solar energy, but they can also bring in significant profits. By storing excess power during times of low prices and demand, battery owners can sell it back to the grid when prices are high.