Apparently, Elon Musk has not exactly kept his ideas in order, delivering a massive contradiction with what could be a multibillion-dollar investment in something he once described as the dumbest experiment in history, by far.
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Let’s go back to 2015. Musk told Neil deGrasse Tyson that burning fossil fuels was the dumbest experiment in history, arguing that fossil-fuel reserves are finite and that a transition to clean energy is inevitable, making the decision to alter the atmosphere difficult to justify.
Fast-forward to 2026, and Musk’s companies are now planning to spend about $2.8 billion on natural-gas turbines to provide electricity for his AI operations. His AI company, xAI, operates massive data centers, including the Colossus facility near Memphis, Tennessee.
AI needs power and a lot of it
Think of an AI data center as a massive computer factory. Thousands of powerful chips run constantly to train and operate AI models like Grok. The problem is that those computers require an enormous amount of electricity. Instead of waiting for the traditional power grid to provide enough energy, Musk’s operation is using natural-gas turbines to generate its own power.
Musk’s operation is using natural-gas turbines to generate its own power
SpaceX’s IPO filings reportedly show plans for more than $2.8 billion in turbine spending over the next few years. Around $2 billion would go toward mobile gas turbines, while another $805 million in turbine orders have already been placed.
So where’s the contradiction?
In 2015 Musk argued that burning fossil fuels was a terrible idea because of its impact on the planet. Now, his companies are preparing to spend billions on natural-gas turbines to power his growing AI empire. But there is an important nuance: Musk isn’t necessarily saying fossil fuels are suddenly good. The argument is more about speed and practicality.
Musk isn’t necessarily saying fossil fuels are suddenly good
AI data centers need huge amounts of electricity right now, and natural gas can provide that power relatively quickly. Building new renewable or nuclear infrastructure can take much longer.
The AI race is creating a power problem
And there is another issue surrounding xAI’s operation in Memphis. The company has faced environmental controversy after reportedly operating dozens of natural-gas turbines without the necessary permits, leading to EPA violations and criticism from environmental groups.
So the bigger story isn’t simply that Elon Musk changed his mind about fossil fuels. It’s that Musk wants to build AI as fast as possible, AI requires enormous amounts of electricity, and natural gas is currently one of the fastest ways to get that power. That has left his companies preparing to spend billions on gas turbines, despite Musk’s previous criticism of fossil fuels.
