AI infrastructure startup TensorWave has raised $100 million to accelerate its expansion as an AMD-first cloud provider. The round was co-led by Magnetar and AMD Ventures, with support from Nexus Venture Partners, Maverick Silicon, and Prosperity7. With this latest infusion, TensorWave has now raised a total of $146.7 million, according to Crunchbase.
While data center projects across the industry face rising costs due to tariffs and component shortages, TensorWave is moving in the opposite direction. The Las Vegas-based company is forecasting over $100 million in annualized revenue this year—a 20x increase from 2024, according to co-founder and CEO Darrick Horton. That growth comes despite broader investor concerns around overcapacity and price volatility in the AI compute market.
AMD Hardware Gives TensorWave an Edge
Unlike many data center startups that lean heavily on Nvidia GPUs, TensorWave is betting big on AMD. The company recently deployed a high-performance cluster of over 8,000 AMD Instinct MI325X GPUs. This move reflects its long-standing focus on affordable, scalable compute infrastructure tailored to training and inference workloads for AI models.
With the new capital, TensorWave plans to expand its cluster, grow its team from 40 to over 100 people, and boost operations to meet increasing demand. Horton emphasized that the goal is to “democratize access to cutting-edge AI compute,” positioning the firm as a leading provider of AMD-powered infrastructure in a market long dominated by Nvidia.
TensorWave was founded in 2023 by Horton, Jeff Tatarchuk, and Piotr Tomasik. The trio brings a blend of experience across cloud infrastructure, crypto mining, and tech startups. Horton and Tatarchuk previously ran VMAccel, while Tomasik co-founded both Influential and Lets Rolo, a company Tatarchuk later sold to Lifekey.
As AI demand continues to skyrocket, other data center players like Lamini, Nscale, Azure, and Oracle are also exploring AMD’s AI chip ecosystem. But TensorWave’s early bet and rapid growth give it a potential head start.
