Trump SPAC Digital World gains after Truth Social migrates to Rumble cloud

Trump SPAC Digital World Acquisition (NASDAQ:DWAC), which is taking Trump's social media company public, rose 6.4% in premarket trading after announcing that Truth Social has migrated to Rumble's cloud infrastructure.

Truth Social's mobile app and website have migrated to Rumble's cloud infrastructure. The migration will enable the Truth Social platform to "scale significantly on a new and cancel-culture-free cloud platform," according to a statement.

The announcement comes as Truth Social has been plagued by technology issues since its launch in late February and some high level executives have exited the firm. YouTube competitor Rumble, which agreed in December to go public through SPAC CF Acquisition IV (NASDAQ:CFVI), announced a partnership with Truth Social in December, where Rumble would provide cloud services as well as deliver video and streaming for Trump's social media platform.

CFVI shares rose 1.9%. The gain in premarket trading in DWAC comes after the stock plunged 22% over the previous two days at least partly after a new short report from Kerrisdale that claimed the company was unlikely to get regulatory approval to complete its SPAC deal with Trump's social media company.