Musk's xAI and SpaceX face a lawsuit regarding noise from their data centre.

      The opposition to AI data centers has escalated to a new level with a class-action lawsuit. Residents of Mississippi have filed a suit against Elon Musk’s xAI and SpaceX, alleging that a gas-fired power plant supplying power to nearby data centers produces "omnipresent and inescapable" noise that has negatively impacted their health and property values.

      This case, which was made public in federal court in Oxford, Mississippi on Tuesday, was initiated by three residents representing a class they estimate to be over 10,000 individuals. The lawsuit claims the companies are negligent and have created a public nuisance due to continuous noise and vibrations.

      “The AI boom is causing significant disruption in communities throughout the United States,” the complaint states. The plaintiffs are seeking compensation for emotional distress and decreased property value, along with a share of the profits generated by the plant.

      The $20bn plant and the state line

      xAI invested over $20bn to construct the plant in Southaven, with support from Mississippi's governor, Tate Reeves. The gas turbines at this facility power data centers situated in and around the town, located just across the state line from Memphis, where xAI’s Colossus supercomputer operates a fleet of methane turbines that have also faced pollution complaints.

      xAI and SpaceX have not responded to requests for comment, and Musk is not named as a defendant in the suit.

      “Our homes should be a refuge for us against the outside world,” remarked Robert Wiygul, a lawyer representing the residents. “When they are subjected to constant noise, it strips away that essential peace necessary for a good and decent life.”

      This lawsuit exemplifies an escalating conflict occurring nationwide. Over 70 cities and counties have enacted bans or moratoriums on new data centers; this week, Seattle’s council voted unanimously to impose a pause, and Nashville’s zoo is opposing a facility nearby.

      This issue is rooted in a significant resource challenge: US utilities plan to allocate $1.4tn to fuel the AI boom, and the burden increasingly falls on the communities closest to these developments.

      Moreover, this situation is garnering federal attention. The NAACP filed a lawsuit against xAI in April regarding the same Memphis-area operations, citing violations of US environmental regulations, and the Justice Department indicated last month that it might get involved, highlighting that the dispute raises concerns about the government's role in AI infrastructure.

      For Musk's companies, the expense of rapidly expanding computational capabilities is starting to manifest not only on the energy grid but also in legal proceedings.