Donald Trump's proposed tech venture is exceedingly ambitious and extremely thin on details.
The twice-impeached one-term president announced plans to take on tech behemoths like Amazon, Netflix and Twitter with the Trump Media & Technology Group and its "Truth Social" app, with plans to go public to generate $1.7 billion in value, but business analysts are decidedly unimpressed.
"So far, this is a joke," wrote Axios business editor Dan Primack. "The press release didn't contain even basic information, such as the new company's CEO. In fact, the only execs mentioned are Trump (as chairman) and veteran TV producer Scott St. John as head of a subscription streaming service."
Among other problems, Primack wrote, there's no details about the type of stock performance that would trigger additional earnings or whether that would benefit Trump himself, and its offerings seem to be slightly different versions of existing products.
"A 'pre-order' option for Truth Social is available in the App Store, with a screenshot that basically looks like reskinned Twitter," Primack wrote. "The press release says the company plans to launch in early 2022, which means the company would seek to go public without a commercialized product."
The Digital World SPAC, which is a shell company that lists on the stock market for the sole purpose of merging with another firm to take it public, was formed earlier this year by Patrick Orlando, who has not yet successfully bought a company and had his only merger, with Giga Energy, later terminated."This appears to be a shell company buying a shell company," Primack wrote.
Other business analysts were similarly skeptical of Trump's tech ambitions.
Donald Trump definitely has the expertise and attention span to build a tech company that rivals *both* Netflix and… https://t.co/K7Kp4WfwIN— Max Burns (@Max Burns) 1634792851.0
The two funniest slides in the Trump Media Group pitch deck are this one, where not only are they planning to compe… https://t.co/M191rZpvuv— 💀 damned sinker 💀 (@💀 damned sinker 💀) 1634818719.0