Fermi Inc. Announces Lease Agreement with TensorWave

Fermi Inc. has signed a binding lease agreement with TensorWave for its Project Matador campus in Texas. The deal involves a 222 MW facility intended for AI training and inference, using AMD Instinct GPUs. This is part of a broader plan to expand the partnership to more than 650 megawatts across three phases.

This first-phase lease, generating $6.5 billion in contracted revenue over a 15-year term, begins in 2027. Fermi’s Chairman, Marius Haas, sees this as a significant endorsement of the company. Construction at Project Matador is progressing, with a build-out investment exceeding $1.5 billion.

Fermi aims to deliver AI data center capability amidst industry-wide capital and permitting challenges. The lease grants expansion rights for additional data centers. Texas Tech University System has expressed its support for this endeavor.