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xAI, the company founded by Elon Musk, has taken a decisive step in the competition for computing power by unveiling its new supercomputer, Colossus 2.

According to analysts, this system will allow xAI to surpass Zuckerberg and Anthropic in computing resources by the third quarter of 2025, while still trailing OpenAI. Colossus 2 will be a key tool for developing even more complex AI models and algorithms.

Construction of Colossus 2 began in March 2025 at a massive warehouse in Memphis, Tennessee. Within six months, 200-megawatt cooling systems were installed, supporting approximately 110,000 servers based on Nvidia GB200 NVL72. xAI also plans to expand capacity to over 1.1 gigawatts by 2027, which will make Colossus 2 one of the largest AI data centers in the world. The project is valued at tens of billions of dollars and will be funded through external investments, including sovereign wealth funds from Saudi Arabia, the UAE, and Qatar.

Despite Colossus 2’s impressive capabilities, the company faces challenges, including high staff turnover and difficulties in the commercial adoption of its Grok 4 product due to past incidents and Elon Musk’s influence. However, Colossus 2 is already demonstrating the ability to train models on massive datasets with high accuracy and speed, opening new frontiers for research.

This supercomputer symbolizes that the race for AI computing power is only accelerating, and xAI is making an ambitious bet on innovation, aiming to secure its position among market leaders.

ORIENT

Photo: dishcuss.com