SpaceX Expands AI Operations with Leadership Shuffle and New Memphis Data Center
September 30, 2026
A leadership reshuffle unfolds as SpaceX continues integrating xAI after its rebranding and merger earlier this year, while expanding Memphis operations with a third data center near Colossus, nicknamed ‘Minihard.’
Public filings reveal major compute deals at the Colossus centers, including Anthropic paying roughly $1.25 billion per month and Google around $920 million per month for capacity.
SpaceX’s AI revenue surged in the second quarter, and Musk has signaled that AI could surpass all other revenue streams by September amid rising compute demand.
Elon Musk has outlined aggressive expansion plans for Nvidia GPU capacity, including adding hundreds of thousands of GPUs to the network in the near term.
The Memphis and nearby Southaven facilities host two large AI supercomputing clusters, Colossus, which SpaceX rents to external AI compute users like Anthropic and Google, driving substantial revenue.
Kevin Holland, a veteran of SpaceX’s launch division, is appointed to lead Memphis data center operations as VP, Supercompute, with a mandate to bring up the next six compute phases by year’s end.
SpaceX has not commented on the leadership changes when approached by Business Insider.
Holland will oversee a team including Wesley Salandro and Alexandra Noe, who will report directly to him, signaling closer integration of Falcon, Starlink, and xAI efforts at the Memphis sites.
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Business Insider • Sep 30, 2026
SpaceX puts a Starship veteran in charge of its Memphis data centers