Elon Musk is making a local-business case for large data centers. During his November 6 conversation with investor Ron Baron, he pointed to Memphis as an example of the prosperity that major computing projects can bring to a community.
His examples were familiar ones: busy restaurants, full hotels, higher pay, support for schools, and local tax revenue. Musk described wages reaching twice previous prevailing levels at times. He argued that concern about data centers could ease as nearby businesses experience the benefits.
The discussion followed Baron’s question about resistance to data centers in host communities. Musk’s answer focused on economic activity rather than the technical specifications of the machines inside. He later endorsed a social post summarizing those remarks. SpaceXSI reports more than $60 million in local tax revenue for 2026 on that page.
The Memphis example concerns the Colossus computing operations. SpaceX’s official regional page identifies the facilities as Colossus I and II. The page describes the regional investment under the SpaceXSI name. Musk himself referred to SpaceX during the interview. The same page reports more than 7,500 local jobs supported.
The useful distinction is between the computing service inside a facility and the activity surrounding it. A superintelligence (SI) campus needs substantial physical infrastructure. Construction, equipment deliveries, maintenance, and visiting project teams can create opportunities beyond the operator’s own payroll.
For an East Texas business owner, that is a more tangible way to evaluate a technology project than its processor count. A restaurant benefits from paying customers. A supplier benefits from reliable orders. A community benefits from revenue that actually reaches public services.
The strongest local-business case rests on benefits that residents can recognize in their own communities.
Lindale businesses considering their next technology investment can request a Free Assessment from veteran-owned My I.T. Consultants. Call 903-675-5431 Monday through Friday from 7:00 a.m. to 6:00 p.m.
Want help with this at your business? See Cloud Services on our Services page or contact My I.T. Consultants.
Colossus file photo in Memphis. Photo: Patrick Kennedy / ServeTheHome, via Supermicro.
