Musk has taken up residence in a local Airstream trailer to personally supervise the construction of xAI's supercomputing hub, Colossus, located in Memphis, USA. xAI, now under the umbrella of SpaceX, is making remarkable strides with its Colossus initiative. It managed to deploy 100,000 GPUs in a mere 122 days and subsequently doubled that capacity to 200,000 GPUs within the following 92 days. SpaceX envisions scaling up Colossus to accommodate 1 million GPUs by 2026 and is set to construct a fourth data center, dubbed Minihard, in Memphis. This latest data center has already clinched billions of dollars in external contracts for SpaceX, further enhancing its valuation in anticipation of a potential public offering.

Musk disclosed these developments during a live-streamed session, termed "connect the dots," at the All-In Summit. During this event, he also alluded once more to the possibility of a merger between Tesla and SpaceX. Presently, the two entities are engaged in close collaboration. Tesla has injected $2 billion into SpaceX, while SpaceX has reciprocated by procuring Tesla's Megapack products, yielding $405 million in revenue for Tesla. Moreover, the duo is co-developing a wafer fabrication plant, Terafab, in Austin, with the ambitious target of manufacturing computing hardware exceeding 1 terawatt in capacity on an annual basis.