Former U.S. President Donald Trump is launching his own social media platform in an attempt to resist censorship and fight back against Big Tech.
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Trump calls the new app TRUTH Social and said in a press release he is building it to “stand up to the tyranny of Big Tech.” The former president was banned from popular social media platforms in the wake of the riots on Capitol Hill in early 2021, leaving him unable to connect with his nearly 90 million followers on Twitter.Truth Social is launching in true Trump style. The Trump Media & Technology Group will combine with Digital World Acquisition Corp. (DWAC), a blank check company, to go public in a deal that values the Trump media company at $875 million initially. The media entity's growth plans will be funded by a war chest of $293 million in cash.
Shares of blank check company Digital World Acquisition Corp soared nearly 400% on the development to $52, giving the Miami-based SPAC a valuation of approximately $2 billion. Meanwhile, shares of Twitter were down about 1% while Facebook's stock was basically flat.
SPAC deals have caught on like wildfire over the past year amid demand from startups and investors alike. Startups like these types of deals because they allow them to provide a future outlook on performance, while IPO disclosures are limited to the past.
