AI TRENDS | SpaceX Plans Turbine Blade Foundry to Ease Data Center Power Shortage

SpaceX CEO Elon Musk is planning to bypass the traditional power supply chain for AI data centers by making highly complex core components in-house. According to Sina Finance, SpaceX has taken concrete steps in Bastrop, Texas, about 30 miles from Austin, to build a foundry dedicated to producing large gas turbine blades and vanes. Musk confirmed the report on social media and said that, despite heavy solar investment, natural gas will still be needed in the coming years to supplement and start solar grids. He said in-house casting of blades and vanes could cut gas turbine deployment time by as much as 18 months. SpaceX has recently posted jobs including a senior operations engineer, senior materials/automation/mold engineer, and a CNC programmer for the new industrial gas turbine line in Bastrop. Morgan Stanley analyst Adam Jonas also said the factory appears to be moving ahead. The article said the global supply chain for turbine blades and vanes has long been dominated by four foundry giants, and that orders for major turbine makers such as GE Vernova are already booked through 2030. Musk said in a February podcast that blades and vanes are the limiting factor slowing turbine deliveries and AI data center construction. Morgan Stanley's Jonas said the Bastrop foundry could serve both data center demand and SpaceX's Raptor rocket engine turbine pump components. Musk is also seeking interim power through outside purchases, including a deal with Fortress Investment Group and possible turbine acquisitions through FTAI Aviation-linked entities. If the Bastrop plant is completed, Musk has said he could deliver more than 10 GW of ground-based data centers by the end of 2027. The article also cited environmental and technical concerns, including a BNEF estimate that U.S. carbon emissions could rise 20% if data centers build their own gas-fired plants.