The Opportunity

Granite Partners, managers of the 1864 Fund with $44M AUM and a 6x IPO exit track record, is offering priority access to TensorWave shares for strategic LPs. Having achieved a 10x return on our pre-seed investment (Dec 2023-May 2025), we're making 2.7% of our position available to qualified investors who align with our strategy.

Priced directly in line with the valuation from TensorWave's latest $100 million financing round, where top-tier VCs and institutions eagerly committed capital, this opportunity offers entry at par, with no buyer discounts or seller premiums. By investing a minimum of $50,000, investors can seamlessly become limited partners (LPs) in Fund A, gaining exposure to TensorWave's high-growth trajectory in the booming AI cloud space. The partnership handles all the logistics between buyers and sellers, making this a straightforward way to tap into a company that's already demonstrating explosive momentum in powering next-gen AI workloads.

Allocation: This offering is designed for long-term strategic partners in our ecosystem. Priority allocation requires participation in our 1864 Fund ($10M seed fund currently raising). We're seeking investors who share our conviction.

TensorWave has hit a major milestone by securing $100 million in Series A funding during Q1 2025, achieving a substantial valuation uplift that underscores investor confidence in its innovative AMD-powered AI cloud platform. Q1 sales met or surpassed internal projections, setting a strong foundation for accelerated growth fueled by the fresh capital infusion, which is enabling rapid expansion of its cutting-edge infrastructure. At the heart of TensorWave's promise is its robust sales pipeline, brimming with enterprise-grade opportunities, and a forward-looking strategy centered on swift GPU deployments that position it as a go-to provider for demanding AI training and inference tasks. With major deals already in motion and a focus on scalable, memory-optimized solutions, TensorWave is poised to capitalize on the AI boom, delivering high-performance computing that rivals industry giants while carving out a niche in cost-effective, specialized cloud services.

The data center market is booming amid the AI frenzy, with the AI-specific data center segment alone forecasted to expand from $236 billion in 2025 to $934 billion by 2030 at a compound annual growth rate (CAGR) of 31.6%, as companies scramble to build infrastructure capable of handling massive compute demands for training and deploying AI models. The result is a hyper-competitive landscape where specialized providers are emerging to meet the insatiable appetite for scalable, efficient AI compute resources.

The partnership between AMD and TensorWave mirrors the symbiotic relationship that propelled Nvidia and CoreWeave to dominance in the AI infrastructure space. Just as CoreWeave built its cloud platform exclusively around Nvidia's GPUs, leveraging early access and investments from Nvidia to create dedicated AI clusters, TensorWave is doing the same with AMD's Instinct accelerators, deploying massive liquid-cooled GPU clusters optimized for AI training and inference. In 2019, CoreWeave secured early debt financing from Magnetar to collateralize and expand its GPU holdings, which enabled rapid scaling. Magnetar proved a steadfast partner, providing ongoing capital through multiple rounds and helping navigate CoreWeave's growth from a niche player to a multibillion-dollar entity, culminating in its 2025 IPO that valued the company at up to $100 billion at its peak, marking one of the largest tech debuts of the year. This hands-on involvement from Magnetar, from initial loans to equity infusions, underscores its strength as a strategic investor capable of guiding high-risk, high-reward tech ventures through volatile markets to successful liquidity events.

Magnetar is replicating this proven playbook with TensorWave, co-leading its $100 million Series A round in May 2025 alongside AMD Ventures to fund the deployment of over 8,000 AMD Instinct MI325X GPUs and scale operations in response to booming AI demand. By backing TensorWave's AMD-exclusive AI cloud strategy, much like it did with CoreWeave's Nvidia focus, Magnetar aims to accelerate the company's path to market leadership, leveraging its expertise in AI infrastructure financing to drive similar explosive growth and position TensorWave for a potential IPO or acquisition, capitalizing on the same market tailwinds that elevated CoreWeave.

The following is not investment advice: AMD is strategically positioned to challenge Nvidia's lead, particularly as the AI landscape shifts from compute-intensive training to more widespread, efficiency-focused inference workloads. At the core of AMD's advantage is its decade-long mastery of chiplet architecture, which delivers near-monolithic performance at a 40% lower cost through higher yields and modular design, giving it a head start as the industry hits lithographic limits and demands more flexible, scalable solutions. Key acquisitions over the last few years further bolster AMD's inference capabilities, reducing operational complexity and power consumption in edge and cloud environments. AMD's Infinity Fabric interconnect technology enhances this by enabling seamless integration of CPUs, GPUs, and FPGAs into tailored configurations, supporting next-gen datacenters where inference will dominate as AI permeates unstructured data processing, synthetic biology, and pervasive edge applications. Market dynamics favor this shift, with inference expected to drive the majority of AI compute needs amid exponential data growth, and AMD's ecosystem provides a competitive moat over Nvidia and Intel, who are still adapting to chiplets and lack comparable stateful software or FPGA integration. Under CEO Lisa Su's leadership, AMD's agile culture, financial health (with strong revenue growth and low debt), and ability to deliver modular, high-performance products position it to capture significant share in the inference era.

Next Steps

Qualified investors should also review our 1864 Fund investment memo and other materials. TensorWave allocation will be prioritized to 1864 Fund LPs and strategic fit with our long-term ecosystem approach.