The parent company of President Donald Trump’s Truth Social platform, Trump Media & Technology Group, has announced a merger with fusion power company TAE Technologies. This all-stock deal, valued at over $9.1 billion (approximately $6 billion USD), marks an unusual combination of the Trump brand with a cutting-edge clean energy initiative that aims to support the demands of artificial intelligence.
Under the agreement, the newly formed entity will work towards constructing the “world’s first utility-scale fusion power plant,” targeting a site for development next year. The objective is to generate electricity necessary for advancing AI technologies. Nuclear fusion, which merges light atomic nuclei to release substantial energy similar to processes occurring in the sun, is touted as a viable solution to the climate crisis stemming from fossil fuel use. Despite its potential, experts caution that practical implementation remains years away compared to established clean technologies like wind and solar power.
Critics have raised concerns about potential conflicts of interest due to Trump’s significant stake in Trump Media, where he holds 41 percent of the shares. Richard Painter, a former ethics lawyer in the George W. Bush administration, highlighted these concerns, stating, “He’s jumping into this industry just like he jumped into cryptocurrency a couple of years ago,” suggesting that Trump’s involvement could lead to conflicts as the government engages with the fusion sector.
Devin Nunes, the Republican congressman who stepped down in 2021 to lead Trump Media, will serve as co-CEO of the new company alongside TAE’s CEO, Michl Binderbauer. Following the announcement, shares of Trump Media surged by 34 percent after a significant decline of 70 percent earlier in the year.
TAE Technologies, backed by investors including Google, aims to become one of the first publicly traded companies focused on nuclear fusion. Nunes remarked in a prepared statement, “We’re taking a big step forward toward a revolutionary technology that will cement America’s global energy dominance for generations.”
The U.S. Department of Energy has recently released a “road map” for fusion technology, emphasizing the goal of nurturing a private sector capable of maturing this field swiftly. Numerous technology firms, such as Google and Microsoft, view fusion as a solution for powering their data centers, which are increasingly reliant on energy-intensive AI applications.
Andrew Holland, CEO of the Fusion Industry Association, expressed optimism about the merger, indicating that new funding and the establishment of a publicly traded fusion company could hasten technological advancements. He noted the excitement among industry players as they secure capital and pave the way for a fusion-powered future.
Prior to this merger, approximately $10 billion had been raised globally by private fusion companies striving for commercial viability. Holland mentioned that while the Trump administration has conveyed strong support for fusion energy, it has yet to provide new financial backing.
Surveys among industry stakeholders suggest that fusion energy could begin contributing to the electric grid as early as the 2030s, with many anticipating significant developments in the first half of that decade. Each party involved in the merger will hold an estimated 50 percent ownership of the new entity, with TAE’s common stock valued at $53.89 per share at the time of the transaction.
As the merger unfolds, Trump Media & Technology Group will act as 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 merger will likely be closely monitored as both the clean energy and social media landscapes evolve.
