More data centers, layoffs and Elon Musk: Mississippi Marketplace

By Katherine Lin | Originally published by Mississippi Today

Amazon has announced it will invest $12 billion to build two more data centers in Mississippi.

This brings the total number of Amazon data center campuses in the state to eight and the company’s total investment to $25 billion

The company promised to pay for the energy infrastructure and upgrades it needs, which would improve the electrical grid for everyone and not raise rates for customers.

In February, Amazon estimated that it will spend a total of $200 billion this year in capital projects nationwide, mostly on data centers and chips to power AI. The company spent around $130 billion last year. 

Other companies, such as Google and Meta, have said they also expect to spend more on projects than last year, mainly on AI infrastructure. 

NAACP sues Elon Musk’s xAI

• The NAACP is suing Elon Musk’s xAI over the company’s use of temporary turbines in Southaven, which the NAACP says is illegal. While the company has been using temporary turbines since last year, it hopes to generate its own power using 41 permanent gas turbines. 
• Last month, the Mississippi Department of Environmental Quality approved the company’s air permit for permanent turbines. However, Southaven residents and other nonprofits sent a letter to MDEQ trying to appeal the decision.
• xAI announced earlier this year that it had raised $20 billion in a Series E funding round and would spend much of the money building out its data centers. 
• In addition, xAI merged with another Musk company, SpaceX, earlier this year and the company is exploring an initial public offering this year where it could raise as much as $75 billion according to Bloomberg. 

First quarter sees layoffs

In the first quarter of 2026, January through March, around 500 jobs were cut in Mississippi. The Mississippi Department of Employment Security released its usual quarterly report on all Worker Adjustment and Retraining Notification notices filed in the state. This included:

• Amplify Battery Plant’s layoff of 73 workers, which we covered in a previous Marketplace report
• GXO Logistics cutting of more than 200 jobs in DeSoto County after xAI bought two warehouses from the company. This was the largest layoff in the state during the first quarter. GXO leased a new warehouse in Olive Branch this month. 

Greenwood Leflore Hospital warned workers of potential large-scale layoffs this week ahead of its expected June 15 closure. Hospital officials said they are exploring a range of solutions. The hospital filed for bankruptcy on Wednesday. 

More news

• MDES will hold an Energy Expo & Job Fair on April 21 at the Biloxi Civic Center to connect energy businesses, contractors and job seekers. A list of employers and jobs for which they are hiring can be found here.
• Mississippi’s alcohol shortage continues with 172,000 cases in its backlog at the state-controlled warehouse as of April 12, around 1,000 cases higher than it was two weeks ago. The shortage has been drawing national attention, including a Washington Post article.
• Nissan announced it will build its Xterra SUV at its Canton plant with the first vehicles being completed in 2028.

This article was originally published by Mississippi Today and is republished here under a Creative Commons license.

Source: Original Article