Sources: Musk acquires APR Energy for ~$1B to power xAI data centers

Published Jul 15, 01:00 PM UTC

Elon Musk has quietly acquired APR Energy, a Florida-based company operating modular gas and diesel generators, for an estimated $1 billion. The purchase, which avoided antitrust review due to early FTC contract termination, is believed to support Musk's energy-hungry AI data centers, including those powering his xAI assistant Grok. On the same day, New York Governor Kathy Hochul announced a one-year moratorium on new data center construction, citing rising energy costs and resource depletion. This makes New York the first US state to impose such a ban, though Maine's governor vetoed a similar measure. Environmental groups have sued xAI over unpermitted gas turbines in Memphis, but the Department of Justice dismissed the lawsuit citing national security. Critics warn the New York ban could cost millions in tax revenue and harm competitiveness, while about a dozen other states consider similar restrictions.

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