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Why Trump’s digital media company is different from other loss-making startups

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Former President Donald Trump’s digital media company is losing money, and a number of it. But how is this different from other “startups” that usually struggle to show a profit for years, in the event that they manage to achieve this in any respect?

There are several reasons.

First, as a summary: Trump Media and Technology Group recently merged with Digital World Acquisition Company, making a SPAC – a financial instrument that is most frequently a final likelihood for a major money injection. The company is listed on NASDAQ, as you may expect, $DJT.

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An necessary a part of going public is revealing your funds to the world, and more recently TMTG submitted its first quarterly financial report from the SEC that anyone can view and analyze. The financial press is having quite a lot of fun, however the result is that TMTG is losing quite a lot of money and generating no profits. Specifically, the company lost $58 million on just $4 million in revenue.

Those inclined to indicate charitable support for a tech startup difficult entrenched rivals – no matter its “mission” or leadership – might reasonably note that this imbalance is common amongst early-stage firms with big ambitions. And that is right – who can forget that Uber has been making huge losses for years to undermine the taxi industry’s business model?

TMTG is superficially similar, primarily since it doesn’t earn a living. However, this doesn’t mean that it is a startup on the verge of explosive growth. There are three big, easy reasons:

  • TMTG is not growing. Truth Social, TMTG’s most important business, has not attracted greater than just a few million users. It hasn’t shown the traction that any startup would have to indicate to suggest it’s the following big thing or anything in any respect (as others have noted, Twitter had $665 million in annual revenue on the time of its IPO). . Incredibly low revenues tell us that the one source of income, advertisers, don’t want to pay for the dimensions of the audience. And there is no reason to expect this to vary.
  • TMTG doesn’t have a VC runway. Venture capital is a high-risk, high-reward strategy through which essentially unprofitable firms are supported until something changes they usually can earn a living. This gives startups the liberty to take dangerous actions like overstaffing, undercharging, and throwing the “business model” out of the way in which, sometimes without end. If investors are confident and the product has traction – like Uber – they’ll pump billions into it because they’re sure that they’ll eventually pay it back. But in his current precarious state, Trump could be a dangerous selection even for VCs. But this is all moot because:
  • TMTG is now accountable to its shareholders. Small startups could have to report back to their VC principals from time to time, but they’ve leeway in comparison with public firms which have fiduciary duties to their shareholders. Although Trump is TMTG’s largest shareholder with a 60% stake, the remaining 40% is closely awaiting any violations of this obligation – akin to a stock sale or a loan that drastically reduces the company’s value. But the necessary thing is that TMTG doesn’t have the liberty to throw across the money (it doesn’t have any anyway) or take risks. The basic idea of ​​going public is that you could have a company that others wish to share – TMTG just doesn’t do this.

As a result, as analysts have already noted, the DJT dollar is fundamentally and wildly overvalued. The company is unlikely to show a profit anytime soon, let alone enough profit to justify its share price and multi-billion dollar valuation. Even probably the most optimistic scenarios likely include solvency as a distant goal.

On the other hand, given the bulk owner’s personal, political, legal and business problems, there is a really real risk that the entire thing will collapse before the tip of the 12 months.

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The fact is that the stock price is completely unrelated to the company’s performance, making it essentially a “meme stock” that will likely be priced arbitrarily and possibly manipulated by public investors.

While this may increasingly earn a living for day traders and short sellers over the following few days and weeks, it is not the form of thing that holds value over the long run, especially within the absence of TMTG assets. By the time Trump is in a position to sell his shares, the company’s value will likely be much like what it is today. That’s not even price what it was this morning, when shares dropped greater than 20% for the reason that market opened.

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This article was originally published on : techcrunch.com

Technology

The latest model AI Google Gemma can work on phones

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It grows “open” AI Google, Gemma, grows.

While Google I/O 2025 On Tuesday, Google removed Gemma 3N compresses, a model designed for “liquid” on phones, laptops and tablets. According to Google, available in a preview starting on Tuesday, Gemma 3N can support sound, text, paintings and flicks.

Models efficient enough to operate in offline mode and without the necessity to calculate within the cloud have gained popularity within the AI ​​community lately. They will not be only cheaper to make use of than large models, but they keep privacy, eliminating the necessity to send data to a distant data center.

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During the speech to I/O product manager, Gemma Gus Martins said that GEMMA 3N can work on devices with lower than 2 GB of RAM. “Gemma 3N shares the same architecture as Gemini Nano, and is also designed for incredible performance,” he added.

In addition to Gemma 3N, Google releases Medgemma through the AI ​​developer foundation program. According to Medgemma, it’s essentially the most talented model to research text and health -related images.

“Medgemma (IS) OUR (…) A collection of open models to understand the text and multimodal image (health),” said Martins. “Medgemma works great in various imaging and text applications, thanks to which developers (…) could adapt the models to their own health applications.”

Also on the horizon there may be SignGEMMA, an open model for signaling sign language right into a spoken language. Google claims that Signgemma will allow programmers to create recent applications and integration for users of deaf and hard.

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“SIGNGEMMA is a new family of models trained to translate sign language into a spoken text, but preferably in the American sign and English,” said Martins. “This is the most talented model of understanding sign language in history and we are looking forward to you-programmers, deaf and hard communities-to take this base and build with it.”

It is value noting that Gemma has been criticized for non -standard, non -standard license conditions, which in accordance with some developers adopted models with a dangerous proposal. However, this didn’t discourage programmers from downloading Gemma models tens of tens of millions of times.

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(Tagstransate) gemma

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Trump to sign a criminalizing account of porn revenge and clear deep cabinets

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President Donald Trump is predicted to sign the act on Take It Down, a bilateral law that introduces more severe punishments for distributing clear images, including deep wardrobes and pornography of revenge.

The Act criminalizes the publication of such photos, regardless of whether or not they are authentic or generated AI. Whoever publishes photos or videos can face penalty, including a advantageous, deprivation of liberty and restitution.

According to the brand new law, media firms and web platforms must remove such materials inside 48 hours of termination of the victim. Platforms must also take steps to remove the duplicate content.

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Many states have already banned clear sexual desems and pornography of revenge, but for the primary time federal regulatory authorities will enter to impose restrictions on web firms.

The first lady Melania Trump lobbyed for the law, which was sponsored by the senators Ted Cruz (R-TEXAS) and Amy Klobuchar (d-minn.). Cruz said he inspired him to act after hearing that Snapchat for nearly a 12 months refused to remove a deep displacement of a 14-year-old girl.

Proponents of freedom of speech and a group of digital rights aroused concerns, saying that the law is Too wide And it will probably lead to censorship of legal photos, similar to legal pornography, in addition to government critics.

(Tagstransate) AI

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Microsoft Nadella sata chooses chatbots on the podcasts

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Satya Nadella at Microsoft Ignite 2023

While the general director of Microsoft, Satya Nadella, says that he likes podcasts, perhaps he didn’t take heed to them anymore.

That the treat is approaching at the end longer profile Bloomberg NadellaFocusing on the strategy of artificial intelligence Microsoft and its complicated relations with Opeli. To illustrate how much she uses Copilot’s AI assistant in her day by day life, Nadella said that as a substitute of listening to podcasts, she now sends transcription to Copilot, after which talks to Copilot with the content when driving to the office.

In addition, Nadella – who jokingly described her work as a “E -Mail driver” – said that it consists of a minimum of 10 custom agents developed in Copilot Studio to sum up E -Mailes and news, preparing for meetings and performing other tasks in the office.

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It seems that AI is already transforming Microsoft in a more significant way, and programmers supposedly the most difficult hit in the company’s last dismissals, shortly after Nadella stated that the 30% of the company’s code was written by AI.

(Tagstotransate) microsoft

This article was originally published on : techcrunch.com
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