U.S. House panel demands SpaceX open its Memphis AI data center for inspection over pollution concerns

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On-chain data shows increasing regulatory pressure as the U.S. House Energy and Commerce Committee demands SpaceX open its Memphis AI data center for inspection by August 11. Representative Frank Pallone accused SpaceX of operating natural gas-fired turbines without permits, raising health concerns. Meanwhile, inflation data remains a key focus for investors amid rising public opposition to AI infrastructure expansion, with 70% of Americans opposing local data centers. The Trump-era DOJ has also intervened to support xAI in legal battles with environmental groups.
ME AI message, on July 29, Frank Pallone (New Jersey), the top Democrat on the U.S. House Committee on Energy and Commerce, sent a letter to SpaceX CEO Elon Musk, demanding that he provide records related to the xAI Memphis data center and grant on-site access by August 11. Pallone accused SpaceX of using natural gas-fired turbines to power the Colossus and Colossus 2 data centers without proper permits or pollution control equipment, posing a "significant health risk" to surrounding communities. Notably, the Trump administration’s Department of Justice has requested to intervene to assist xAI in defending against lawsuits filed by environmental groups and the NAACP. A Gallup survey from May found that 70% of Americans oppose the construction of AI data centers in their local areas, as public resistance to the expansion of large tech companies’ AI infrastructure continues to grow. (Source: MLion)
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