Rumble (US:RUM) Zhi Tong Cai Jing·2025-11-10 11:52Core Insights - Rumble plans to acquire Northern Data for approximately $767 million in an all-stock transaction, allowing Northern Data shareholders to receive 2.0281 shares of Rumble for each share they hold, resulting in them owning about 30.4% of Rumble post-transaction [1] - The acquisition includes a $150 million GPU computing power leasing agreement with Tether, which holds about 48% of Rumble's shares, and Rumble will also provide around $200 million in tax liability support [1] - The deal is expected to close by Q2 2026, after which Northern Data will be delisted from the pan-European stock exchange [1] Company Strategy - Rumble aims to transform itself from a conservative video platform into a significant player in the AI cloud infrastructure sector by leveraging Northern Data's extensive AI GPU components and cloud computing services [2] - The acquisition will allow Rumble to integrate Northern Data's Ardent data center and Taiga AI GPU services into its existing cloud platform, enhancing its capabilities without the need to build infrastructure from scratch [3] - Rumble intends to utilize the acquired computing power for its own video platform's recommendation and content generation models while also renting out excess capacity, focusing on cloud-based AI computing power leasing services [3] Industry Context - The demand for AI computing power is surging globally, leading to exponential growth in the valuation and performance of AI cloud computing service platforms [4] - CoreWeave, a leader in cloud-based AI computing power leasing, has seen its stock price increase by approximately 186% since its market debut, with revenue projections rising from about $395 million in Q2 2024 to around $1.2 billion in Q2 2025 [4]