Elon Musk's artificial intelligence company, xAI, is set to make a groundbreaking investment exceeding $20 billion in Southaven, Mississippi, for the establishment of a new data center. This massive project, officially announced by Mississippi Governor Tate Reeves, represents the largest private-sector investment in the state's history. The facility, which will be known as 'MACROHARDRR,' is strategically located on Stateline Road, near xAI's existing operations in Tennessee, and is part of the company's ambitious plan to deploy up to one million AI chips. The data center is designed to house what xAI's CFO, Anthony Armstrong, described as a critical part of the 'world's largest supercomputer,' aiming for approximately two gigawatts of computing power upon completion. This expansion underscores xAI's aggressive push to enhance its competitive position against other leading AI firms like OpenAI and Anthropic, particularly in training advanced AI models. The company expects to begin data center operations in Southaven as early as February 2026. The project is anticipated to create hundreds of permanent jobs within DeSoto County and thousands of subcontracting roles, significantly boosting local economic development. Governor Reeves highlighted the substantial tax revenue generated, which will support vital public services including infrastructure, education, public safety, and health and human services. Local and state governments are providing incentives, such as sales and use tax exemptions and reduced property taxes, to support this monumental development. While the investment's scale is confirmed, some analyses raise questions regarding the specific infrastructure details, particularly concerning power sourcing and grid capacity for a 2-gigawatt supercomputer. This global tech development is highly relevant to an Indian audience interested in AI advancements and major tech investments.