The Trump administration is supporting Elon Musk in a lawsuit regarding his artificial intelligence company, xAI, which is accused of polluting residential areas in north Mississippi. The Department of Justice (DOJ) filed a motion in federal court on June 18, 2026, requesting the dismissal of the case brought by the NAACP, which alleges that xAI and its subsidiary MZX Tech installed methane-gas turbines at their Southaven data center without necessary air permits, violating the Clean Air Act.
The DOJ argues that the data center is essential for training AI models critical to the economy and national security, asserting that the turbines are necessary for its operation. In a 33-page memo, the DOJ claims it has the authority to terminate such citizen lawsuits under the Clean Air Act.
Adam Gustafson, a deputy assistant attorney general, stated that the DOJ will not allow private organizations to use environmental laws to undermine national security. The lawsuit alleges that xAI's operations could emit over 5,000 tons of harmful nitrogen oxides annually, contributing to health issues in the surrounding communities.
xAI operates two data centers, known as “Colossus 1” and “Colossus 2,” with the latter being particularly large at 1 million square feet. The NAACP's legal representatives argue that all companies, including those working with the federal government, must adhere to environmental regulations. They emphasize that the rights of affected communities to file lawsuits against polluters should not be dismissed.
xAI has not provided a comment on the matter.