A Trump-linked media company locked in a huge artificial intelligence data center deal with a mystery customer as the market for the technology rises.
RUM Group Inc., formerly known as Rumble Inc., scored the $13.7 billion AI infrastructure agreement despite lacking the capital to afford the deal, Reuters reported Monday. The undisclosed customer will purchase AI computing power for six years while RUM Group builds a Maysville, Georgia, data center.
âe will be required to develop, construct and operate a data center facility and acquire substantial quantities of GPUs and other related equipment and infrastructure,â RUM Group said in a Monday SEC filing that disclosed the deal. âWe do not currently have financing to fund these expenditures, and our obligations under the Commercial Agreement are not subject to any financing condition or contingency.â
âAccordingly, we will remain obligated to perform under the Commercial Agreement even if we are unable to obtain the necessary financing when needed on acceptable terms, or at all,â RUM Group clarified in the SEC filing.
The tech companyâs customer will receive access to cloud GPU services at the Georgia data center site and the opportunity to buy roughly 51 million shares of RUM Groupâs Class A stock at one cent per share, Reuters reported.
RUM Group did not immediately respond to the Daily Caller News Foundationâs request for comment.
âBut a $13.7B contract is not the same as $13.7B of funded, profitable revenue,â one X post analyzing the deal read. âThe real investment thesis now comes down to three things: Financing. Execution. Dilution.â
Another X post poked fun at the reported terms of the deal, specifically the fact that the company lacked the infrastructure and capital required for the deal it just made.
âe genuinely care about making a positive impact, and we will work hard to remain responsive to local concerns,â RUM said on the Maysville data center project âAboutâ page. The tech company addressed concerns about water and electricity usage as well as potential noise issues, saying its facility would not affect the communityâs water, electricity or noise level.
RUM said it is committed to transparency and âpartneringâ with the community of Maysville, Georgia, and the company intends to bring in jobs and tax revenue, according to the Maysville project âAboutâ page.
âBuilding and running this facility is expected to bring dozens of construction jobs while it is built, and skilled permanent jobs once it is open, along with new local tax revenue that supports Maysville for years to come,â RUM Group said on the âAboutâ page.
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