AMD Secures 10-Year, $311 Million Riot Data Center Lease with 200 MW Expansion Option
AMD has agreed to lease 25 MW of critical IT load capacity at Riot Platforms’ Rockdale Site under a 10-year contract worth $311 million, with delivery in two phases from January to May 2026. The deal includes three five-year extensions and options to expand to 200 MW—raising potential revenue to about $1 billion.
1. Riot Platforms Secures Strategic Data Center Lease with AMD
Riot Platforms has entered into a Data Center Lease and Services Agreement with AMD at its Rockdale, Texas site, committing to deliver an initial 25 MW of critical IT load capacity in two phases between January and May 2026. The ten-year lease carries approximately $311 million in contract revenue over its initial term and includes three five-year extension options that could lift total contract value to roughly $1 billion. AMD also holds an option to expand by 75 MW and a right of first refusal on an additional 100 MW, potentially scaling its footprint at Rockdale to 200 MW. Riot funded the $96 million fee-simple acquisition of the underlying 200-acre site through the sale of 1,080 bitcoin, thereby consolidating full land ownership and unlocking up to 700 MW of gross power capacity for future data center development.
2. AMD’s High-Bandwidth Memory Strategy Poised to Capture AI Inference Workloads
AMD’s latest data center chips prioritize high-bandwidth memory (HBM) over raw compute core counts, a design shift analysts believe will deliver superior performance-per-watt for inference applications. Combined with a robust AI chip roadmap, this focus on memory bandwidth addresses latency and power constraints that hyperscalers face when scaling inference clusters. Industry forecasts anticipate AMD’s data center segment revenue growth could exceed 30% in 2026, driven by strong uptake of HBM-equipped accelerators among cloud service providers and enterprise AI developers seeking cost-effective inference solutions.
3. Multi-Year 6 GW OpenAI Partnership Accelerates AMD’s Data Center Growth Narrative
AMD has secured a transformative multi-year agreement to supply up to 6 gigawatts of AI accelerators to OpenAI, anchoring its end-to-end AI systems strategy. Under the deal, AMD will deliver rack-scale solutions that integrate compute, memory, networking and software stacks, moving beyond standalone chips. This collaboration underpins management’s projection that AMD’s data center revenue, which has already scaled from approximately $2 billion to over $16 billion in recent years, could reach in excess of $34 billion by 2024. The partnership is expected to catalyze a multi-decade investment cycle as hyperscale demand for turnkey AI infrastructure accelerates.