• by Colin Kirkland , Yesterday

President Donald Trump’s Truth Social -- a niche competitor to microblogging platforms like X and Threads -- may separate from Trump Media & Technology Group (TMTG) to become its own publicly traded company following an upcoming merger with fusion power company TAE Technologies.

In December, when TMTG announced its $6 billion all-stock deal with TAE Technologies, the media company stated that a split could follow.

According to a new TMTG release, its various businesses, including Truth Social, would merge with a Special Purpose Acquisition Company called Texas Ventures Acquisition III Corp.

Before the merger with TAE officially closes, TMTG shareholders would receive shares in the new company, with TMTG-TAE creating “two pure play companies, each with distinct strategies.”

Aside from Trump's interest in the nuclear-fusion market and plans to build “the world's first utility-scale fusion power plant” capable of generating 50 megawatts of electricity, the potential split could attract more public market attention to Truth Social, which has struggled to create revenue.

Trump launched the conservative-leaning social-media platform in 2021 after he was banned from Twitter and Facebook as a result of the January 6 insurrection. Since, then Truth Social has become the president's hub for daily posts including political, person and business-centric updates.

Compared to other leading microblogging platforms, Truth Social remains small, with less than 12 million subscribers.

The company's revenue fell 4% over the previous quarter, with TMTG stock falling 18% over the past year and a net loss of $54 million for the first three months leading up to its latest earning report.

Per the company's recent announcement, Truth Social as a spinoff would be subject to regulatory, shareholder and board approvals. However, TMTG has not made any official decisions, noting that it is currently “engaged in ongoing discussions” about the spin off.