Bumble is set to be taken private in a US$1.3 billion deal that puts AI at the centre of efforts to revive the dating app business.

Ithaca Holdings has agreed to acquire Bumble, offering shareholders US$6.05 per share in cash. The deal represents a 138% premium to Bumble’s closing share price on 9 October 2026.

It marks a dramatic reversal for Bumble, which was valued at more than US$14 billion when it listed on Nasdaq in 2021.

The acquisition by the technology investment firm marks a major ownership change for the dating app company as it attempts to reverse declining user engagement and financial performance.

Ithaca directors Ravi Gupta and John Hegeman are expected to become co-chief executives.

Founder Whitney Wolfe Herd will remain involved in the business.

“As Bumble’s Founder, my belief in this company and its potential to positively impact people around the world has never been stronger. That is why I will remain actively involved with Bumble.” Wolfe Herd said.

“I believe deeply in Bumble’s future, and I look forward to working alongside Ravi, John, and the Bumble team as we continue to innovate, create meaningful connections, and write the next chapter of Bumble’s story. I truly believe the best is yet to come.”

The new owners want to use technology to accelerate growth and reshape businesses in an increasingly AI-driven economy. 

“Technology should work in service of our deepest source of fulfillment, human connection, and this investment is a bet on the future of humanity,” said Gupta and Hegeman in the announcement.

Bumble has already introduced AI-powered features, including profile guidance to help users improve how they present themselves to potential matches.

Other AI applications could include more personalised recommendations, improved matching and tools intended to make interactions more meaningful. However, the new owners have yet to detail their specific plans.

Bumble has recently moved away from one of its defining features. In August 2026, the company abandoned its signature women-first messaging rule, which marked a significant change for the platform that initially stood out for having women make the first move. 

The company has also faced workforce and profitability pressures, cutting almost one-third of its workforce in 2025.

The takeover also comes as dating platforms face growing competition and user fatigue, with customers questioning the value of paid subscriptions and growing weary of endless swiping.

In Australia, YouGov research published in 2024 found that 70% of adults had never used a dating app. Among singles open to finding a partner, 24% preferred meeting people in person, suggesting that digital platforms still face competition from traditional ways of forming relationships.

Safety concerns also present a significant challenge.

An Australian study of 1,008 women, reported by the ABC in September 2026, found that 99% of heterosexual women surveyed had encountered at least one harmful behaviour on a dating app in the previous three months.

For Bumble, AI could help improve matching and personalisation, but technology alone may not address the reasons some users are abandoning dating apps or choosing not to join them.