The Month in Data Centres: January 2026 Edition

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Elon Musk speaking at the World Economic Forum in Davos, Switzerland (Credit: WEF)
From Elon Musk's xAI Mississippi data centre to Caterpillar and NVIDIA's edge strategy, these were some of the data centre news highlights in January 2026

Revisit the stories, quotes and statistics that shaped January's data centre landscape across infrastructure, AI and sustainability

Elon Musk’s Strategy for xAI US$20bn Mississippi Data Centre

xAI has confirmed plans to invest more than US$20bn in a new hyperscale data centre in Southaven, Mississippi, marking one of the largest single data centre investments announced in the US to date.

The facility will significantly expand xAI’s computing capacity and anchor a growing cluster of AI-focused digital infrastructure across the greater Memphis region.

The project will see xAI purchase and retrofit an existing building in Southaven to house the new data centre, known as MACROHARDRR.

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Governor Tate Reeves (Credit: Mississippi Office of Governor)

“This is the largest economic development project in Mississippi’s history”

Tate Reeves, Governor of Mississippi

Edge Strategy: Caterpillar & Nvidia’s AI Systems Partnership

Nvidia and Caterpillar have announced an expanded collaboration that could reshape how industrial manufacturers approach data processing and artificial intelligence infrastructure. 

The partnership centres on deploying physical AI systems across construction, mining and power equipment factories globally, with significant implications for data centre architecture and edge computing strategies.

Joe Creed, CEO of Caterpillar, said: "As AI moves beyond data to reshape the physical world, it is unlocking new opportunities for innovation. Caterpillar is committed to solving our customers' toughest challenges by leading with advanced technology in our machines and every aspect of business."

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Joe Creed, CEO at Caterpillar

NTT DATA Targets Net Zero with IT plan for UK Data Centres

Virgin Media O2 agrees a three-year partnership with technology services provider NTT DATA and IT lifecycle specialist n2s to reduce the environmental impact of its data centre infrastructure across the UK. 

Virgin Media O2 Data Centres (Credit: n2s)

The project targets responsible decommissioning, material recovery and circular economy outcomes.

The agreement will see more than 40,000 IT assets sustainably processed, with a focus on reducing waste and recovering critical materials.

The work supports Virgin Media O2’s energy efficiency and carbon reduction goals.

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Can Zurich Help Prevent and Mitigate Data Centre Risks?

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Zurich Resilience Solutions has unveiled a dedicated Data Center Risk Advisory practice, expanding its focus on the growing complexity and scale of modern data centre developments. 

The new practice brings together more than 100 specialist risk engineers to support hyperscale and AI-driven facilities from early design through construction and into live operations.

Part of Zurich Insurance, Zurich Resilience Solutions is positioning the new practice as a response to the rapid acceleration of global data centre investment and the increasing risk exposure that accompanies larger, more power-dense and more interconnected facilities.

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AWS and Rio Tinto Rethink Data Centre Copper Supply Strategy

Kara Hurst, Chief Sustainability Officer at Amazon

Rio Tinto’s collaboration with Amazon Web Services (AWS) is reshaping how critical materials are sourced for large-scale digital infrastructure in the US.

Under a two-year agreement, AWS will source lower-carbon copper for components used in its US data centres while providing cloud analytics to support Rio Tinto’s Nuton Technology bioleaching platform. 

The partnership brings together mining innovation and hyperscale demand at a time when data centre operators are under pressure to secure resilient, lower-emissions supply chains.

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