Rumble to Acquire Northern Data in $767 Million Stock Deal, Expanding into AI

Rumble, the video platform backed by stablecoin issuer Tether, has announced plans to acquire German AI and high-performance computing firm Northern Data in a stock deal valued at approximately $767 million. This merger, which follows an earlier joint venture announcement in August, represents one of the most significant moves by a crypto-linked company into AI infrastructure.

Under the terms of the deal, each Northern Data share will be exchanged for 2.0281 new Rumble Class A shares. The merger, which is expected to close by the first or second quarter of 2026 pending regulatory approvals, could include a cash component of up to $200 million depending on the sale of Northern Data's Corpus Christi data center in Texas.

This acquisition underscores Rumble's growing ambition to expand beyond its video platform into AI-based cloud services and content processing. "The purchase of Northern Data gives us the infrastructure needed to compete with major players in the cloud computing and AI sectors," said Rumble CEO Chris Pavlovski.

Tether, which invested $775 million in Rumble in late 2024, will remain a key financial supporter of the merged company. Tether has also agreed to purchase up to $150 million in GPU services over two years and will contribute a secured loan to help refinance Northern Data's existing debt.

Tether CEO Paolo Ardoino emphasized the vision behind the partnership, stating, "Our investment in Rumble is about building infrastructure that protects freedoms. We share the same vision of creating open platforms as a counterweight to centralized, censor-prone Big Tech."

As part of the deal, Rumble will gain control of one of Europe's largest independent GPU estates, which includes a network of data centers and 22,400 Nvidia GPUs. This acquisition aligns with a broader trend of crypto firms increasing their exposure to AI infrastructure, as seen in recent acquisitions by other companies in the space.

Once completed, Northern Data will be delisted from the Frankfurt Stock Exchange, and shareholders representing 72% of Northern Data's equity, including Tether and other key investors, have agreed to tender their shares. The deal also gives Rumble access to a network of data centers in the U.S. and Europe, further positioning the company to compete with cloud giants like Amazon and Google.