00:00Rum Group coming off a record quarter with second quarter revenue jumping 61% from a year ago to more
00:05than $40 million.
00:06Now forecasting as much as $93 million this quarter.
00:10As it pushes deeper into AI infrastructure, Rum Group CEO and founder Chris Pavlovsky back with us.
00:16June 17th, you close the acquisition of Northern Data.
00:20And in this quarter gone, that shows up as a $10.1 million contribution.
00:24So it's early.
00:25But let's start there.
00:27You know, how had that gone and what's the direction of travel?
00:31And maybe just explain the pivot that you made.
00:34No, absolutely.
00:35Thanks for having me back on.
00:36So in Q1, we did $25.5 million.
00:40In Q2, which we just reported, we did $40.4 million, which is a record for the company.
00:46We closed Northern Data in mid-June.
00:49We rebranded the company to Rum Group.
00:51So now we have two divisions.
00:52We have the video platform, which is Rumble.
00:54And on the other side, we have Quake AI, which is the AI compute as a service business.
00:59And that showed up in the quarter.
01:01And we posted a record in the history of the entire company since the inception of going public.
01:10And for the very first time, we initiated formal guidance as a company now that we see that we can
01:19predict and be better at telling the market and where we're going and telling the story.
01:24And we are forecasting between $87 million and $93 million for the third quarter of 2026.
01:34Chris, do the investors accept, understand, and believe the Quake AI story?
01:41I think that's something the market's missing right now.
01:45I think that we have to execute as a team and we have to show that we can take this
01:52business and capitalize on the opportunity that we have.
01:55We have over 250 megawatts of unmonetized power, 150 megawatts that's in Georgia.
02:02That represents a $3 billion annual revenue opportunity for the business.
02:09So at this moment, I think the market wants to see some execution.
02:13And I think we're starting to show that.
02:15We posted a record here in Q2.
02:17And we're anticipating I'm posting a record in Q3.
02:22So that's interesting, right?
02:23Not yet monetized from a megawatt perspective.
02:26You could even just do it on a per GPU basis.
02:28You guys have more than 20,000 NVIDIA GPUs across H100 and H200 generations.
02:34What does it take to monetize that capacity?
02:37Bring it online?
02:39Yeah.
02:40So our current estate that's monetized right now, we have about 22,000 GPUs.
02:44That's monetizing at about $6 million to $7 million per megawatt.
02:49And as you've probably seen with a lot of different earnings out there and SpaceX, et cetera, there's a lot
02:55of different projections on where that can go for the estates.
02:58The 250 megawatts that we do have that's currently unmonetized, if you throw Rubens in there, if you throw Blackwells
03:06in there, depending on the customer that we put there and what chipset we put there, that can scale up
03:12pretty dramatically from $6 million to $7 million per megawatt.
03:15You heard Elon talking about 30, he was guessing between $30 to $50 billion per gigawatt.
03:23So the scale can get pretty rapid there.
03:27And that is exactly the opportunity we have in front of us.
03:30And my team is heads down 100% on monetizing that 250 as fast as possible.
03:37It's only been a month and a half.
03:38We've got the utilization up on the current estate up to roughly 85%.
03:43And now we're heads down on trying to get that 250 monetized, get the right client there, and capitalize on
03:51that $3 billion annual revenue opportunity that sits right in front of us.
03:56Again, this was a pivot.
03:58So in the quarter gone, the video platform still contributed more than $30 million in revenue.
04:02What's the future of that business, right?
04:05You see an inflection point where AI is just the vast majority and video goes away, or it's more even
04:11set?
04:12I see there's a real opportunity that's coming in the future.
04:16And I think it's a little early at this moment.
04:19But robotics, I think the next major leg on AI, obviously AI compute, the demand, it's very scarce.
04:26The demand is super high.
04:27There's very low supply.
04:29And that's going to be a very big business going forward for us.
04:31But I also think the video side provides a real opportunity when we get into this robotic era of AI.
04:39The video data is going to be very compelling in order for training robotics.
04:44So we sit in a very interesting place with over 57 million monthly active users on the video platform and
04:51a community, a very strong community,
04:53that can contribute a lot of video data and monetize their video data for that robotic era AI.
05:00And I think that creates a moat around Rum Group that, you know, the typical neoclads don't have.
05:06We have what the neoclads have, and that's the power, the land, the GPUs.
05:10But we also have something they don't have, and that's the video data.
05:13We have what the neoclads have, and that's the power, the power, the power, the power, the power, the power,
05:14the power, the power, the power, the power, the power, the power, the power, the power, the power, the power,
05:14the power, the power, the power, the power, the power, the power, the power, the power, the power, the power,
05:14the power, the power, the power, the power, the power, the power, the power, the power, the power, the power,
05:14the power, the power, the power, the power, the power, the power, the power, the power, the power, the power,
05:14the power, the power, the power, the power, the power, the power, the power, the power, the power, the power,
05:14the power, the power, the power, the power, the power, the power, the power, the power, the power, the power,
05:14the power, the power, the power, the
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