Trump Media Plans Major Restructuring with Truth Social Spin-Off

Trump Media & Technology Group is exploring a major restructuring by potentially spinning off its social media platform, Truth Social, into a separate publicly traded company. This move aims to separate its digital media operations from its new fusion energy venture. Despite facing significant financial losses, TMTG's financial assets have increased substantially. The company is in discussions with TAE Technologies and Texas Ventures Acquisition III regarding this potential deal, which could reshape its business landscape. As TMTG navigates challenges in the competitive social media market, it seeks to attract investors through innovative energy technologies.

By Narendra Chaudhary Feb 28, 2026, 08:35 IST

Trump Media & Technology Group's Strategic Shift

Trump Media & Technology Group (TMTG) is gearing up for a significant transformation. The organization, established by former US President Donald Trump, is contemplating the separation of its social media platform, Truth Social, into an independent publicly traded entity. On Friday, TMTG announced that it is in discussions with TAE Technologies and Texas Ventures Acquisition III regarding this potential arrangement.

If this initiative proceeds, TMTG's social and digital media operations would be distinct from its newly introduced fusion energy project, resulting in two separate publicly traded companies, each with unique objectives and strategies.

As reported by Reuters, shares in the newly formed social media company would be allocated to qualifying TMTG shareholders. Subsequently, this new entity would merge with a special purpose acquisition company (SPAC) to finalize the listing process.

In its recent financial report, TMTG revealed a significant increase in net losses for 2025, amounting to $712.3 million, up from $400.9 million the previous year. This increase is largely attributed to unrealized losses from its investments in bitcoin and Cronos.

Despite the losses, TMTG's financial assets saw a substantial rise, ending 2025 with approximately $2.5 billion, a notable increase from $776.8 million the previous year. Net sales also experienced a slight uptick, rising to $3.68 million from $3.62 million in 2024, according to Reuters.

Best known for Truth Social, TMTG has faced challenges in expanding its media operations, contending with fierce competition from larger social media platforms and inconsistent user growth. The company is now seeking to diversify its portfolio and attract investors by venturing into emerging energy technologies.

TMTG clarified that no final agreement has been established regarding the spin-off, and discussions are still in progress. In December, the company announced a merger with TAE in an all-stock transaction valued at over $6 billion, marking TMTG's entry into the fusion energy market with plans to develop large-scale power plants aimed at addressing increasing electricity demands, including those from AI data centers.

TAE Technologies, located in California, is pioneering advanced nuclear fusion technology and has secured over $1 billion in funding from investors, including Alphabet's Google and Chevron.