Musk's xAI and SpaceX face a lawsuit regarding noise generated by their data center.

      The opposition to AI data centres has escalated to a new level: a class-action lawsuit. Residents in Mississippi have taken legal action against Elon Musk’s xAI and SpaceX, alleging that a gas-fired power plant supplying power to nearby data centres produces "omnipresent and inescapable" noise that has harmed their health and reduced their property values.

      The lawsuit, revealed in federal court in Oxford, Mississippi on Tuesday, was initiated by three residents on behalf of a class that they estimate includes over 10,000 individuals. It claims that the companies have acted negligently and have created a public nuisance due to continuous noise and vibrations.

      “The AI boom is causing disruption in communities across the United States,” states the complaint. The plaintiffs are seeking compensation for emotional distress and decreased property value, as well as a portion of the profits generated by the plant.

      A $20 billion plant near a state line

      xAI invested over $20 billion in constructing the plant in Southaven, with support from Mississippi’s governor, Tate Reeves. The plant's gas turbines supply power to data centres in and around the town, which is located just across the state line from Memphis, where xAI's Colossus supercomputer operates methane turbines that have also attracted pollution complaints.

      xAI and SpaceX did not respond to requests for statements, and Musk is not listed as a defendant in the lawsuit.

      “Our homes are meant to be a refuge from the outside world,” said Robert Wiygul, an attorney representing the residents. “When they are assaulted by noise 24 hours a day, it strips away that essential peace necessary for a fulfilling and decent life.”

      This lawsuit highlights a growing conflict that is spreading nationwide. More than 70 cities and counties have enacted bans or moratoriums on new data centres, Seattle’s council voted unanimously this week to impose a halt, and Nashville’s zoo is contesting a facility in close proximity.

      Underlying the noise and petitions is a significant resource challenge: US utilities plan to invest $1.4 trillion to support the AI boom, placing increased pressure on the communities closest to these developments.

      It is also becoming an issue for federal authorities. The NAACP filed a lawsuit against xAI in April concerning the same Memphis-area operations, alleging violations of US environmental regulations, and the Justice Department indicated last month that it might get involved, stating that the dispute raises questions regarding the government's role in AI infrastructure.

      For Musk’s companies, the expense of rapidly expanding computing capacity is beginning to manifest not only on the energy grid but also in legal proceedings.