SAN FRANCISCO — The parent company of President Donald Trump’s Truth Social media platform is merging with a fusion power company in a deal valued at over $6 billion. Trump Media & Technology announced the all-stock merger with TAE Technologies on Thursday, marking a notable intersection of the Trump brand with a clean energy initiative aimed at supporting the next wave of artificial intelligence.
Based in Southern California and backed by Alphabet, Google’s parent company, TAE Technologies is focused on nuclear fusion, a technology that combines two light atomic nuclei into a heavier nucleus, releasing vast amounts of energy—a process that occurs in the sun and other stars.
The newly formed entity plans to identify a site and initiate construction in 2024 on what it calls the “world’s first utility-scale fusion power plant,” aimed at supplying electricity necessary for powering artificial intelligence systems.
While nuclear fusion is touted as a potential solution to climate change associated with fossil fuel consumption, experts caution that it remains a distant goal compared to established clean technologies such as wind and solar power. Richard Painter, a former White House ethics lawyer, emphasized that Trump’s involvement introduces significant conflicts of interest, particularly as the U.S. government begins to engage more in this area. “He’s jumping into this industry just like he jumped into cryptocurrency a couple of years ago,” Painter remarked, highlighting concerns over potential regulatory implications.
Devin Nunes, who left Congress in 2021 to lead Trump Media, will serve as co-CEO alongside Michl Binderbauer, TAE’s current CEO. Shares of Trump Media & Technology have plummeted by 70% this year but saw a 34% increase in afternoon trading on Thursday following the merger announcement.
With backing from Google and other investors, TAE is a private entity, and the merger will create one of the first publicly traded nuclear fusion companies. “We’re taking a big step forward toward a revolutionary technology that will cement America’s global energy dominance for generations,” Nunes stated.
The merger values TAE common stock at $53.89 per share, with TAE and Trump Media shareholders each expected to own roughly 50% of the combined company. Trump himself is the largest stakeholder in Trump Media, holding 41% of all outstanding shares.
In October, the U.S. Department of Energy released a “road map” for advancing fusion technology in the private sector. This initiative aims to encourage fusion to reach maturity rapidly. Several technology firms, including Google, Microsoft, and OpenAI, have expressed interest in fusion technology to meet the energy demands of their AI operations.
Andrew Holland, CEO of the Fusion Industry Association, praised the merger, stating that new funding and the prospect of a public company could catalyze advancements in the field. He believes that any technological breakthrough relies heavily on time and resources. “It’s exciting when any of our member companies raise new capital and secure their pathway towards building what is our ultimate goal, a fusion-powered future,” Holland said.
Fusion technology is viewed as a promising solution to the vast energy demands associated with AI, as it is a clean, safe, and sustainable energy source capable of scaling when commercialized. Holland noted that prior to this deal, private fusion companies globally had raised $10 billion in funding, with most development occurring in the United States.
Despite the Trump administration’s public support for fusion, Holland remarked that no new financial support has been allocated to the sector. Surveys conducted by the association indicate that industry insiders expect fusion energy to be present on the electric grid by the 2030s, with many anticipating it within the first half of the decade.
As the merger moves forward, Trump Media & Technology Group will become the holding company for both Truth Social and TAE, along with its subsidiaries TAE Power Solutions and TAE Life Sciences. The implications of this unusual partnership could have far-reaching effects on the intersection of media and energy innovation.
See also
OpenAI Reveals ChatGPT’s Power Needs: 17 TWh Annually, Costs $2.42B for User Queries
Hut 8 Announces $7B Deal to Develop 245-MW AI Data Centre in Louisiana
IBM Commits to Skill 5 Million Indian Youth in AI, Cybersecurity, and Quantum by 2030
Intel Pursues $1.6 Billion Acquisition of AI Startup SambaNova to Strengthen Market Position
