Trump Media & Technology Group announced plans to launch a streaming TV platform that will showcase news, films, and other content that the company claims mainstream media outlets refuse to air. The company, which began trading on the Nasdaq stock market three weeks ago, briefly reached a valuation of $10.8 billion before experiencing a significant decline in its stock price.
After peaking at $79.38 per share on March 26, Trump Media’s stock, trading under the ticker DJT, has plummeted by almost 70%. On Tuesday, the stock slipped by 12.4% to $23.32, resulting in a market value of approximately $3.1 billion.
The company’s primary asset, Truth Social, was created by former President Donald Trump in 2022 after being banned from major social media platforms following the January 6 Capitol riot. Trump Media aims to establish a “media powerhouse” with various platforms, including social media and digital streaming.
With $200 million in the bank from going public, Trump Media plans to expand its offerings and build an audience to attract advertisers. Despite having an estimated 494,000 monthly active users in February, the company’s revenue was only $4.1 million last year, with a loss of $58 million.
The streaming TV platform will initially launch on the Truth Social app before expanding to home TV streaming. Trump Media CEO Devin Nunes stated that the platform will feature a variety of content that has been overlooked or suppressed by other platforms. Despite existing conservative-leaning networks, Trump Media aims to provide a platform for creators who feel marginalized by mainstream media.
As the company’s stock continues to decline, experts warn of further drops in value, potentially hindering its ability to raise capital through secondary stock sales. Trump Media’s stock price remains volatile, with uncertainties surrounding its future performance in the market.