FTAI Aviation is converting retired CFM56 aircraft engines into generators for data centres seeking power before grid connections become available. Its Mod-1 units have completed testing at 23 MW of continuous baseload output and 25 MW peak, on natural gas and liquid fuel. FTAI has more than 100 units under contract for projects in the United States and Canada, with deliveries scheduled for 2027 and 2028.
The programme is being developed through FTAI’s joint venture with China’s Jereh Group. In July 2026, the venture secured a $1.465 billion order from an unnamed cloud-services provider, with deliveries due in batches through November 2027. FTAI’s schedules and performance figures are company-reported targets and test results.
Separately, eight converted aircraft turbines have been installed at an xAI site in Mississippi, based on permits and satellite imagery reviewed by The New York Times. The installations have not been disclosed by xAI as a company announcement.
The demand creates competition for engines that have traditionally been dismantled for reusable parts. Companies such as AerFin recover serviceable components from retired engines, while FTAI is seeking units for conversion to power generation. Boom Supersonic is also developing a 42 MW natural-gas turbine for data centres, alongside its planned Overture aircraft engine. It has an order from Crusoe for 29 units, with first deliveries targeted for mid-2027.