Elon Musk is now building a supercomputer which he claims is the world’s largest supercomputer and the mega-machine is likely to be built in Memphis, Tennessee. Musk’s ambitious project, called the Gigafactory of Compute, is set to become the most significant investment in the city’s history, creating hundreds of jobs and boosting Memphis’ tech profile.

This new supercomputer will be powered by Nvidia’s H100 GPU, one of the most sought-after chips for artificial intelligence applications. According to a statement from the Greater Memphis Chamber, xAI has been working with local officials since March to make this vision a reality. If approved, the project aims to be online by the fall of 2025.

In a statement provided to Business Insider, Greater Memphis Chamber President and CEO Ted Townsend highlighted that while the timeline is not specific, work around xAI is progressing “very aggressively” to meet the deadline. Notably, Musk previously told xAI investors that he wants the supercomputer to be online by the autumn of 2025.

The proposed supercomputer is a multi-billion dollar investment and is expected to create hundreds of jobs and attract significant investment, in line with Musk’s plans to advance AI technology and maintain competitive momentum against tech giants such as OpenAI, Google, and Meta.

As for the project site, the project is not yet official, pending approval from the Memphis Shelby County Economic Development Growth Engine, the Tennessee Valley Authority and other governing authorities. The city is also discussing potential tax breaks and other incentives to attract xAI. “We have work to do, no doubt about that,” Townsend told BI. “But we are incredibly grateful for the interest from Allen, his executives and the xAI team.”

According to the Memphis Business Journal, although specific details about the exact location of the facility are still kept secret for security reasons, reports suggest that it could be located at the former Electrolux Memphis facility. According to reports, the Greater Memphis Chamber joined the project about 90 days ago, and efforts have gained momentum since then.

“We had an ideal site, a perfect fit for investment,” said Memphis Mayor Paul Young. “And we had the power of our people, who created new and innovative processes to maintain the momentum needed to get this transformational project off the ground.”

If approved, Compute’s Gigafactory will position Memphis at the epicenter of AI innovation, a historic investment in the city’s future.

To support this project, xAI recently announced a $6 billion Series B funding round, with Musk personally investing $750 million. This financial boost has brought the company’s value to over $24 billion. Additionally, Musk has redirected Nvidia chips originally built for Tesla to xAI, giving priority to the AI ​​project.

Interestingly, Musk is not the only tech leader eyeing Tennessee. Earlier this year, Oracle Corp. Chairman Larry Ellison, a friend of Musk and a former board member of Tesla Inc., announced plans to move Oracle’s corporate headquarters to Nashville. Additionally, Amazon.com Inc. operates an office in Nashville that has a substantial number of employees.