Niche video streaming service and cloud computing company Rumble (RUM 15.83%) rumbled the stock market Friday but in the best way possible for investors. Its stock surged almost 16% higher on news of a business tie-up in the revolutionary artificial intelligence (AI) space. That pop felt especially impressive when matched against the flat performance of the ultimately sleepy S&P 500 index.
Deepening integration with AI
Shortly after market close on Thursday, Rumble announced that it was partnering with privately held Perplexity AI, a developer that has concocted an "answer engine" harnessing AI technology.
Image source: Getty Images.
The collaboration between the two will see them combine on several initiatives for Rumble, including souped-up search functions on its web portal and a new subscription for users that bundles the AI company's Perplexity Pro service.
In the press release trumpeting this arrangement, Rumble wrote that it "addresses a fundamental product challenge in digital video: helping users discover relevant content in an increasingly crowded media landscape."
It explained that "by integrating Perplexity's AI search technology into Rumble.com, the partnership aims to improve content discoverability for both creators seeking to reach their audiences and viewers looking for specific topics or discussions."
Gradual uptake
Rumble did not provide any financial details of its partnership with Perplexity AI. It did say the integration of the latter company's tech will occur in stages.
Although it's tough to determine what effect the collaboration will have on Rumble's fundamentals, it feels like a sensible, potentially quite beneficial move to hone the company's competitive edge. Any enhancement to the user experience can make Rumble that much more "sticky" with the public.
