By Bailey LipschultzBloomberg Posted on Apr 27, 202227 Apr 2022 Former President Donald Trump’s social network is once again at the top of the Apple App Store, fueling a recovery in the white check company that brings its parent company to the public. Shares of Digital World Acquisition Corp. jumped 24% on Wednesday as thousands more users gained access to the full functionality of Truth Social and downloads increased almost tenfold. The specialty firm, which is merging with Trump Media & Technology Group, had fallen 60% in the past two months or so. Wednesday’s rally began hours before the purchase, following a tweet from Elon Musk, who acquires rival Twitter Inc., in which he said Truth Social passed both Twitter and TikTok to the Apple App Store during of the night. Downloads jumped to more than 55,000 on Tuesday from less than 6,000 last week, according to Apptopia estimates released to Bloomberg News. The daily active users of Truth Social also increased to 365,000 on Tuesday, an increase of 20% from the previous week. Truth Social is currently winning Twitter and TikTok in the Apple Store pic.twitter.com/RxawVUAYKH – Elon Musk (@elonmusk) April 27, 2022 However, shares of Digital World cut profits to 10% after Musk wrote on Twitter that Truth Social “exists because Twitter censors freedom of speech.” While stocks are still down more than 50% since the close of March, Digital World has risen 380% since its September debut and remains one of the best-performing SPACs. Devin Nunes, CEO of Trump Media & Technology Group, posted on Truth Social about the rise of the app to the top of the Apple App Store, saying “TRUTH is becoming home to some of the best talent on the web!” . Representatives of the Trump Media & Technology Group and Digital World did not immediately respond to Bloomberg News emails asking for comment. (Bloomberg) Increasing Competition The Digital World has been rocked in recent weeks by worries about Musk’s planned $ 44 billion Twitter purchase, worries about its merger with Trump Media, and key Truth Social executives resigning. Last week, hedge fund Kerrisdale Capital Management also published a brief report speculating that a regulatory crackdown would affect its deal. Details about the former president’s media venture were scarce and Truth Social’s circulation was plagued by blockages and delays. The Trump Media & Technology Group’s goal is to compete with “the liberal media consortium and resist Silicon Valley Big Tech companies,” according to an October statement. While the stock had previously attracted private investors, it was not a trend in popular chatrooms such as Reddit’s WallStreetBets and Stocktwits Wednesday. Individual investors have earned just $ 3.78 million in the past two months, compared to more than $ 220 million they bought in the eight days since the deal was announced in October, according to Vanda figures.
