Rumble Eyes Global AI Expansion with $1.17 Billion Northern Data Deal

Rumble is preparing to take a significant step beyond its video streaming roots by moving into the global artificial intelligence infrastructure market. The Canadian-based platform has said it is considering making an all-share offer worth about $1.17 billion to acquire Germany’s Northern Data.

Rumble’s Strategy to Acquire Key Northern Data Units

The plan centers on securing full control of two Northern Data divisions—Taiga, which provides GPU-based cloud services, and Ardent, which operates large-scale data centers. Under the proposal, Rumble would issue new Class A shares in exchange for Northern Data’s outstanding stock.

Executives at Rumble believe the move would reshape the business into a prominent player in artificial intelligence (AI) cloud computing, with assets capable of supporting large-scale workloads and competing on a global level.

Northern Data’s GPU Assets and Data Center Infrastructure

Taiga, Northern Data’s cloud unit, holds one of the largest collections of high-end Nvidia GPUs available on the market. The inventory includes around 20,480 H100 chips and over 2,000 H200 units. Alongside Taiga, Rumble is also targeting Ardent, the company’s data center arm. 

Northern Data operates five wholly owned data center sites with a combined potential energy capacity close to 850 megawatts. Additional facilities are positioned in strategic co-location sites, providing flexibility for expansion.

Rumble intends to integrate both units directly into its operations. It says, “Upon acquiring all outstanding Northern Data shares, Rumble expects that it would integrate Ardent, Northern Data’s data center business, and Taiga, Northern Data’s GPU as a service business, into Rumble’s existing operations.”

Proposed Share Exchange and Ongoing Negotiations

If the acquisition moves ahead in its current form, each Northern Data share tendered would be exchanged for 2.319 newly issued Rumble Class A shares. Should all Northern Data shareholders participate, they would collectively hold about one-third of the merged entity’s equity.

The final exchange ratio remains subject to confirmatory due diligence and negotiations between the two sides. A key consideration is Northern Data’s plan to sell its Peak Mining cryptocurrency unit to private Bitcoin miner Elektron Energy for approximately $235 million, which could influence the final share ratio. 

Despite this, Northern Data’s board has expressed readiness to continue discussions with Rumble to move the potential deal forward.

Tether’s Stake and Rumble’s Digital Asset Growth

A key element in the takeover discussions is the position of Tether, the largest issuer of U.S. dollar-backed stablecoins. The company holds a controlling 54% stake in Northern Data and also owns around 48% of Rumble. In December 2024, Tether invested $775 million into Rumble. The stablecoin issuer has said it supports Rumble’s potential acquisition of Northern Data.

Tether, the majority shareholder of Northern Data, has indicated it would support the transaction. Following consummation of the potential transaction, Tether would become an important customer of Rumble, with a multi-year commitment to purchase GPUs.

As chairman and CEO of Rumble, Chris Pavlovski will maintain majority voting control through his shareholdings. He has shown support for the proposed acquisition and plans to approve the transaction by casting his votes via written consent. After the deal is finalized, Tether is projected to hold the largest stake in Rumble’s Class A common shares.

Meanwhile, in 2024, Rumble started adding Bitcoin to its balance sheet and has now accumulated 210.8 BTC, worth more than $25 million at today’s prices.