Shares of Trump Media & Technology Group, the company behind former President Donald Trump's social media platform Truth Social, experienced a sharp decline on Tuesday following the announcement of the launch of a new streaming platform. The stock fell more than 10% during mid-morning trading, bringing the company's market capitalization below $3.4 billion.

The streaming platform, which will be integrated with Truth Social, aims to offer live TV, including news, religious channels, family-friendly content, and content that has been "canceled" or "suppressed" on other platforms. Trump Media emphasized that the streaming service, like Truth Social, will operate independently from "Big Tech."

With 7.7 million total visits last month, Truth Social has gained significant traction among its user base. In an effort to further enhance the platform, Trump Media stated that the streaming service will expand its offerings, providing a guaranteed platform for creators who face discrimination or difficulty finding an audience.

Trump Media CEO Devin Nunes expressed his enthusiasm for the streaming platform, highlighting its mission to provide a permanent home for high-quality news and entertainment that faces unfair treatment on other channels and content delivery services. Nunes believes that there is a plethora of exceptional content that struggles to find an audience due to unjust reasons, which Trump Media aims to rectify.

The decline in Trump Media's stock comes just over a week after its initial public offering on the Nasdaq. Following the disclosure of a substantial loss from operations and interest expenses in 2023, coupled with modest revenue figures, investor confidence began to wane. This downward trend continued as Trump Media registered the resale of the majority of its outstanding securities.

The stock's decline is also influenced by the fact that certain insiders' shares are still subject to a lock-up agreement set to expire in August or September. Despite concerns about the company's profitability, Nunes maintains that Trump Media is well-positioned for the future, but did not provide a clear timeline for when that profitability could be achieved.

As Trump Media's stock falters, analysts and investors are closely monitoring its ability to generate sustainable revenue and address its financial challenges. The success of the newly announced streaming platform will play a vital role in determining the company's future trajectory in an ever-evolving media landscape.

Disclaimer: This news article is generated by an AI assistant based on the provided information. It does not reflect the opinions or views of any individual or entity mentioned in the article.