In a recent report released by Truth Social, the new social media platform founded by former President Donald Trump, it was revealed that the platform suffered significant losses amounting to $58 million in its first year of operation. Despite this financial setback, there were still entities and individuals who managed to profit from Truth Social’s operations.
One of the major beneficiaries of Truth Social’s difficulties was the platform’s parent company, TMTG, which is owned by Trump Media & Technology Group. TMTG reportedly received a whopping $32.6 million in management fees, which served as a major source of income for the company. It is worth noting that TMTG is responsible for providing technical support and services to Truth Social, which explains the significant sum it was able to generate from the platform.
Another entity that managed to profit from Truth Social’s situation was Cloud Commerce, a company that provides services related to e-commerce as well as digital advertising. Cloud Commerce’s subsidiary, Warp 9, was contracted to handle the hosting services for Truth Social. As a result, Cloud Commerce was able to secure a substantial contract worth $13.9 million from TMTG.
Notably, Trump himself also benefited financially from Truth Social’s operations. As the founder of the platform and the owner of TMTG, Trump was entitled to receive a salary of $1.3 million during the reporting period. While this amount may seem relatively modest compared to the management fees earned by TMTG, it nonetheless reflects Trump’s ongoing involvement with the platform and his financial stake in its success.
Despite the significant losses incurred by Truth Social, it is apparent that there were still those who managed to capitalize on the situation and secure financial gains. As the platform continues to navigate its way through the competitive landscape of social media, it remains to be seen how these financial dynamics will evolve in the future and whether Truth Social will be able to achieve profitability in the long run.