Trump's 'Truth' network hits a roadblock as its funding woes increase
Former US president Donald Trump set up an alternative social network called Truth Social earlier this year. But his supporters don't seem to have followed him there, and Truth Social is facing financial woes as it tries to stay afloat.
In this file photo illustration taken on February 21, 2022 an image of former President Donald Trump reflected in a phone screen that is displaying the Truth Social app, in Washington, DC.
Donald Trump had announced the arrival of his social platform Truth Social with much fanfare in February 2022. Yet nowadays it is not doing so well, with fewer followers than expected and financial troubles too.
Fox Business Network reported Thursday that the platform has halted payments to the company that hosts it, RightForge, and owes $1.6 million.
The platform's parent company, Trump Media and Technology Group, did not respond to a request for comment.
A RightForge spokesman would not comment on the reports that Trump Social is not paying its bills.
"RightForge was on the ground floor of building Truth Social and will continue to support president Trump in his endeavors," the company said.
Meanwhile the parent company's merger with Digital World Acquisition Corp –– a blank check company formed specifically to carry out a merger –– has yet to take place, 10 months after the announcement that it would happen. This fusion is supposed to bring in fresh funding for the Trump platform.
DWAC published Thursday a call for a special shareholders meeting September 6 at which investors will be asked to approve a one-year delay for carrying out the merger, until September 8 of 2023.
Without a favourable vote for an extension the blank check company said it will be forced to dissolve.
Financial data published Thursday said that as of late June, DWAC had only $3,000 in cash on hand.
Truth Social bills itself as Trump's answer to platforms like Twitter, which the former president used as a loud political bullhorn until he was barred from it after being accused of provoking the US Capitol riot in January 2021.
But six months later, it is in 30th place in an Apple ranking of social media apps downloaded onto iPhones.
The Statista database says Truth Social is downloaded only around 50,000 times per week.
Trump's account on Truth Social has 3.91 million followers; on Twitter he had 79.5 million when he was booted.
Shares in DWAC have fallen 71 percent since hitting their peak in early March.
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