TensorWave Raises $100 Million to Boost AMD-Powered Infrastructure
Deal News | May 14, 2025 | Translink Capital LLC
TensorWave, a data center provider specializing in AMD-powered infrastructure, has secured a $100 million funding round led by Magnetar and AMD Ventures, with contributions from Maverick Silicon, Nexus Venture Partners, and Prosperity7. This investment raises the total capital amassed by TensorWave to $146.7 million. Despite a challenging market, influenced by tariff-related price hikes and the risk of overcapacity, TensorWave is experiencing significant growth, forecasting over $100 million in run-rate revenue by year-end—a 20-fold increase from the previous year. The company is expanding its AI infrastructure by deploying around 8,000 AMD Instinct MI325X GPUs and plans to increase its workforce from 40 to over 100 employees. Co-founded by Darrick Horton, Jeff Tatarchuk, and Piotr Tomasik in 2023, TensorWave aims to establish itself as a leader in AI infrastructure, leveraging AMD technology to offer competitive cloud services.
Sectors
- Data Centers
- Artificial Intelligence
- Semiconductors
- Venture Capital
Geography
- United States – Country where TensorWave is based and carries out its operations, particularly in Las Vegas, Nevada.
Industry
- Data Centers – Involves companies that provide infrastructure for hosting data, including servers and storage solutions. Relevant because TensorWave is a data center provider.
- Artificial Intelligence – Pertains to technologies and companies involved in AI development and deployment. Relevant as TensorWave is expanding its AI infrastructure using AMD components.
- Semiconductors – Includes companies engaged in the design and manufacturing of semiconductor devices. Relevant due to TensorWave's use of AMD hardware, like the Instinct MI325X GPUs.
- Venture Capital – Relates to firms that invest in startups or small businesses with high growth potential. Relevant because the funding round for TensorWave was led by multiple venture capital firms.
Financials
- $100 million – Amount raised in the funding round for TensorWave.
- $146.7 million – Total capital raised by TensorWave to date.
- 20x revenue increase – Expected increase in TensorWave's run-rate revenue from the previous year.
- 8,192 AMD Instinct MI325X GPUs – Number of GPUs deployed by TensorWave in their AI infrastructure.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| TensorWave | Target Company | Company | A data center provider focused on AMD-powered cloud infrastructure. |
| Magnetar | Lead Investor | Company | One of the leading firms in the funding round for TensorWave. |
| AMD Ventures | Lead Investor | Company | Investment arm of AMD, co-leading the funding round for TensorWave. |
| Maverick Silicon | Investor | Company | Participated in the funding round. |
| Nexus Venture Partners | Investor | Company | Participated in the funding round. |
| Prosperity7 | Investor | Company | Participated in the funding round. |
| Darrick Horton | Co-Founder and CEO | Person | Co-founded TensorWave and currently serves as CEO. |
| Jeff Tatarchuk | Co-Founder | Person | Co-founded TensorWave with previous experience in cloud startups. |
| Piotr Tomasik | Co-Founder | Person | Co-founded TensorWave with a background in digital marketing. |