Business
Fontana's Black mayor is cracking down on Latino street vendors. Both sides allege racism
FONTANA, Calif. — At meeting after meeting, activists, social justice groups and residents took their turn at the lectern in the Fontana City Council chambers in the fall to sound off against Mayor Acquanetta Warren. Their denunciations of the city’s first Black mayor were relentless, and their anger resonated beyond the council chambers.
For months, Warren had been the driving force behind a crackdown on street food vendors selling goods without proper permits. Under a series of regulations approved by the City Council, unlicensed sellers could be arrested on misdemeanor charges. Their food and equipment were now fair game to impound and trash.
“It’s time to take a stand,” Warren told the packed chamber at one October meeting, standing firm against the onslaught. “We’ve tried everything we can to help people get legal. … Now it’s time to grab a couple of hammers.”
In a city where Latinos make up the majority of residents, some view the criminalization of street vending as a direct attack.
“It’s fascist, classist, racist, xenophobic and a grave injustice,” Fontana resident Evan Webb, a staunch ally of local activist groups, told the council at another October meeting. “Because of your votes, people will be traveling to poverty, debt, trauma and deportation.”
In the months since, activists have continued to ramp up their campaign against Warren, a Republican who has been open in her concerns about illegal immigration. Their verbal attacks, some laced with profanity and racial overtones, ripple across social media. And even as critics accuse city leaders of an ethnically motivated crackdown on working-class Latinos, Warren’s defenders say the backlash itself is racist in nature — a move to undermine a clear-eyed leader because she is a Black woman.
“I have followed this anti-Black behavior brought on by this immigration group since it surfaced back in October,” Hardy Brown, a longtime activist in San Bernardino’s Black community, said during a December City Council meeting. “They have called us everything but a child of God and using racial stereotype language I choose not to repeat.”
Fontana city leaders say their crackdown on street vending is about protecting health and local businesses. Activists call it an attack on Latino culture.
(Gina Ferazzi / Los Angeles Times)
The cat-and-mouse game between unlicensed street vendors and city code enforcement is not new for Southern California. It’s been an ongoing point of tension in relatively white suburban communities for years, particularly in Orange County’s posh beach cities. But what’s unfolding in Fontana represents a new front in the battle as the debate spreads into unfamiliar terrain: the Inland Empire, where large numbers of Latino families are relocating to escape unaffordable housing in Los Angeles and Orange counties.
In Fontana, the talking points in the standoff are in many ways the same as what’s played out elsewhere: City officials say unlicensed vendors represent a health risk to consumers, unfair competition to bricks-and-mortar restaurants and lost civic revenue from unpaid taxes and fees. Those defending street vendors say their trade offers an economic lifeline to hardworking people and, for many Latinos, calls up a nostalgic mainstay of Mexican culture.
But the discourse in Fontana has also veered into barbed and more personal territory, highlighting the growing pains of a Latino-majority community led by Warren, a controversial figure determined to establish Fontana as an up-and-coming suburb.
Alfonso Gonzales Toribio, an associate professor of ethnic studies at UC Riverside, notes another distinction: Along with Warren, many of those taking on street vendors in Fontana are Latinos and other people of color using nonracial terms to say why it’s a problem.
“There is this class dynamic that they’re trying to sell the Inland Empire as sort of the middle-class suburban alternative to living in Orange County,” Gonzales Toribio said. “And in doing that, they’re trying to create the image of these pristine uniform suburban spaces that don’t have room for street vending.”
Fontana officials say they pursued ordinances criminalizing street vending only after the city had exhausted efforts to bring unlicensed vendors into compliance.
(Gina Ferazzi / Los Angeles Times)
Fontana indeed has transformed since its founding. Unofficially dubbed “Fontucky,” the area was once home to agriculture and rolling hills and later to the Kaiser Steel mill, the largest steel plant on the West Coast during World War II.
Warren joined the City Council in 2002, and her successful mayoral bid in 2010 was lauded as a historic turning point in a city with a cruel history of segregation. As mayor, she has courted warehouse development, bringing in scores of facilities and hundreds of jobs. Critics of the approach dub her “Warehouse Warren” and question the environmental fallout of a local economy reliant on mass distribution centers and truck traffic.
From the start, Latino activists also took issue with her stance on illegal immigration.
Street vendors are quick to pull out their cellphones and call up a clip where Warren says, “If you get here illegally, you need to learn how to speak English. You need to understand the culture in America.” The doctored clip is presented as if Warren said this amid street vending discussions. In fact, the clip is from a 2010 council meeting where a San Bernardino public official called Warren racist after a newspaper story quoted her expressing support for a controversial Arizona law, passed that same year, that gave police broad powers to detain anyone suspected of being in the country illegally. Portions of the measure were subsequently voided by the U.S. Supreme Court.
Warren, a council member at the time, rebutted the accusations of racism and said she advocated for stronger border protections because people entering the country illegally were taking low-skilled jobs from impoverished Black communities.
Digna Orozco sets up a roadside sign for her Fontana food stand.
(Irfan Khan / Los Angeles Times)
Still, street vendors tend to think the mayor’s crusade against their vocation is rooted in animosity toward Latinos and immigrant culture.
“She doesn’t know us,” said Digna Orozco, who sells pambazos and tacos de canasta on a dirt patch near semi-trailer truck lots in Fontana.
Orozco said she turned to street vending after suffering a heart attack triggered by stressful work as a seamstress at high-end wedding boutiques. She didn’t think her heart could handle a return to boutique work, but she had bills to pay, so she turned to vending at the start of the COVID-19 pandemic.
“She doesn’t know that it’s out of necessity.” Orozco said. “I wanted to tell her, ‘I’m an American citizen from Fontana and my children grew up here.’”
Fontana city officials have repeatedly said the vending ordinances are not meant to target a demographic group. Warren declined The Times’ request for an in-person interview, but offered a statement blaming the tensions on social activists who have twisted the dispute into a “racial or social equity issue to promote their political agenda.”
“The businesses most impacted by their intentional disregard for our ordinance are mostly Latino-owned small businesses,” Warren said in the emailed statement. “They are the ones requesting city action, and they are the ones negatively impacted by this outrageous behavior. This group has attempted to make this a racial issue, and they are the ones who have resorted to personal attacks and threats of violence. The city will continue to enforce the law and stand up for local residents and businesses, regardless of the tactics employed by this group.”
The Times reached out to several Mexican food establishments, whose owners declined to speak on the record. Some cited fear of retaliation from pro-vendor activists, while others worried they might alienate fellow restaurateurs if they expressed support for street vendors. In general, they said they agreed with the need to curb unlicensed vendors; some suggested setting a radius clause where the same goods couldn’t be sold in front of a bricks-and-mortar establishment. Yes, street vendors are common in Mexico, one owner said, but in the U.S., fellow Latinos should shake off old habits and strive to eat better and cleaner.
Amanda Morales, a self-identifying Latina and special projects coordinator for the Fontana Chamber of Commerce, said the street vendor ordinances are not racist in nature but instead an effort to lift and support Latino-owned businesses.
“We have heard story after story of our restaurant owners on the verge of shutting down and laying off their employees that live in the city because they are unable to compete with the price points of street vendors,” Morales said.
Digna Orozco, right, prepares pambazo at her food stand.
(Irfan Khan / Los Angeles Times)
Council members contend they pursued the new ordinances only after the city had exhausted its efforts to work with unlicensed street vendors to bring them into compliance.
Code enforcement officers have distributed fliers explaining the licensing rules in English and Spanish. The city created a program in June to offer financial assistance of up to $2,000 to help cover expenses involved with obtaining permits from the city and county. Three months later, the city shut down the program because no applications were submitted.
Instead, Deputy City Manager Phillip Burum said, illicit vendors have memorized when officers begin their patrols. They pack up their food when officers drive by — and wait until the officers are gone to start selling again.
In October, the City Council approved spending $600,000 to bring in a third-party vendor to help with the crackdown. Pleasanton, Calif.-based 4Leaf Inc. will provide code enforcement services, such as giving warnings to first-time unlicensed vendors, impounding equipment and food from repeat offenders and, if necessary, calling in police for support. Under the six-month contract, six security workers will patrol the city during eight-hour shifts six days a week.
“We’re not objecting to people making money, but you need to do it the right way,” Warren told audience members at the October meeting where the expenditure was approved. “Our public looks upon our council and our region to keep them safe, and if you looked at the conditions they cooked [in], you wouldn’t be eating at these places. There’s no bathrooms. How [are] you going to sit there for eight hours with no bathroom? Where are you going to wash your hands?”
Warren’s admonitions have done nothing to quiet the pro-vendor forces. And as tensions have heightened, Fontana has added more police officers to stand watch during council meetings.
In October, Edin Alex Enamorado, whose strident activism has made him a social media sensation, organized a protest in front of the mayor’s house that police declared an unlawful assembly. Enamorado and a cohort of activists have since been jailed and await trial on allegations they used violent tactics to harass and intimidate perceived enemies of street vendors and certain other causes in multiple cities. The defendants deny the accusations, presenting themselves as crusaders using their 1st Amendment rights to stand up for the oppressed.
Coalition groups such as the Center for Community Action and Environmental Justice have galvanized vendors to share testimony at council meetings about what drew them to the occupation. Several explained in Spanish that the vending ordinances were upending a food service many residents appreciate and see as part of their heritage. Frustration has mounted as city-provided interpreters sometimes struggle to accurately convey what Spanish speakers say within the time frame allotted for public comment.
“When you talk about public health and safety of the community, you say that street vendors are a danger, that street vendors are a nuisance,” Joaquin Castillejos told the mayor at an October meeting. “You know what to me is a danger and a nuisance? It’s PM2.5 contamination from trucks going into our lungs every single day in the streets, and you wanna put warehouses next to a school—”
Before he could finish, his allotted time elapsed.
To understand how Mr. Trump has achieved this omnipresence, The New York Times reviewed the first 329 days of his second term, finding at least one instance each day when he attracted the public’s attention to himself and his actions.
The review encompassed more than 250 media appearances, more than 320 official appearances, and more than 5,000 Truth Social posts or reposts. The analysis shows that while Mr. Trump has lagged his predecessors in his number of official appearances, he has pursued a raft of innovative methods to force himself into the public consciousness on a daily, and sometimes even hourly, basis.
The battery of activity started from the moment he was inaugurated, when he traveled from the Capitol Building to the Capital One Arena to publicly sign a flurry of executive orders.
Since then, he has stayed in the public eye in part by doing things no president has ever done. High-stakes Oval Office meetings, like his negotiations with President Volodymyr Zelensky of Ukraine, are held on-camera and broadcast live on global news networks. His Q.-and-A. sessions with reporters frequently last an hour or more.
He regularly airs his opinions – on social media, in discursive asides at rallies – about idiosyncratic subjects that range widely across the zeitgeist, from Sydney Sweeney’s sexy denim ads to the redesigned logo of the Cracker Barrel restaurant chain to the mysterious fate of the aviator Amelia Earhart, who vanished over the Pacific Ocean in 1937.
And his engagement with the news media has soared well beyond the start of his first administration.
Through Dec. 14, Mr. Trump took reporters’ questions on 449 occasions, compared with 223 during the same period of his first term. On average, Mr. Trump has interacted with journalists roughly twice a day, doubling his rate from 2017, according to Martha Joynt Kumar, a Towson University political scientist who tracks presidential press interactions. Mr. Trump limits which news outlets can ask questions at small events, but in sheer volume, he is the most media-accessible modern president, and far outpaces his predecessor, Joseph R. Biden Jr.
“Reporters will be in my office asking me for the president’s reaction to a breaking news story,” Karoline Leavitt, the White House press secretary, said in an interview. “And I’ll just say to them, ‘I don’t know, why don’t you ask him yourself in 30 minutes?’”
President Trump’s media appearances have soared this year, more than doubling both the Biden administration’s and those of his own first term.
Finding the Cameras
Many of his public moments go viral online, like his diatribe about restoring the name of the Washington Redskins, or the A.I.-generated video meme he posted of himself dribbling a soccer ball with Cristiano Ronaldo in the Oval Office. They take on a life of their own, rippling across social media and dissected and amplified by influencers and mass media platforms alike.
The result is a president whose not-so-inner monologue is injected into our daily lives in myriad ways, when we are watching TV on the weekends or idly scrolling the web – a Greek chorus for our national narrative.
“He’s the most ubiquitous president ever,” said Douglas Brinkley, the presidential historian.
The media strategy aligns with his political strategy.
Dating back to his years as an outspoken real estate developer and reality TV star, Mr. Trump has relished being unavoidable for comment. But at age 79, he has been outdoing his younger self. And there is a logic to his logorrhea.
Mr. Trump’s allies often speak of the political benefits of flooding the zone: pursuing so many policies, ideas, and dramatic restructurings of the normal ways of governance as to overwhelm the system. “All pedal, no brake,” as Stephen K. Bannon, Mr. Trump’s one-time adviser, has called it.
“We joke internally that he is our ultimate director of communications,” Ms. Leavitt said. “He has incredible media instincts, and he is the final decision maker on all policy, and he has been in a ‘flood the zone,’ ‘do as much as possible’ mindset since he walked into the Oval Office on Jan. 20.”
All presidents benefit from the awesome news-making powers of the office, with its agenda-setting influence over a dedicated global press corps. But Mr. Trump has outstripped his predecessors in whipsawing the public’s attention onto matters small and large – and limiting the level of scrutiny that any one shocking remark or policy proposal receives.
“People can really only focus on a handful of things a day,” said Bill Burton, a deputy White House press secretary under former President Barack Obama. “This attention flood is working for Trump because he is able to do an extraordinary amount of executive actions and very little of it can get attention.”
Or as Mr. Brinkley put it: “He plays to win the day, every day, around the clock.”
His commentary takes on a life of its own.
One of Mr. Trump’s political assets is his instinct for virality.
With a natural feel for the web, Mr. Trump has a knack for amplifying wacky memes and pop culture curios that can drive days of online discourse. Sometimes, coverage of his offhand remarks or late-night social media posts can crowd out the more significant, norm-shattering changes he is making to American governance.
Late one Friday night in May, the president posted an obviously A.I.-generated image of himself as the pope. It struck a nerve.
Mr. Trump had already courted controversy days earlier, after the death of Pope Francis on April 21.
“I’d like to be pope,” the president told reporters who asked about who should become the next pontiff. “That would be my number one choice.”
The comment disturbed some Catholics, who said the notion was crude and insensitive. That reaction seemed only to prompt Mr. Trump to double down, posting the A.I.-generated image to his Truth Social account days later. By the weekend it had become a cultural phenomenon, mocked on “Saturday Night Live” and called out by experts as an example of misleading A.I. content.
After Mr. Trump posts the A.I. image …
May 2
Trump posts A.I. image of himself as Pope
There is nothing clever or funny about this image, Mr. President. We just buried our beloved Pope Francis and the cardinals are about to enter a solemn conclave to elect a new successor of St. Peter. Do not mock us.
May 3
NYS Catholic Conference says “do not mock us”
May 3
“Saturday Night Live” covers fake image
May 3 Vatican asked about image, declines to comment
May 4
Cardinal Joseph Tobin of New Jersey criticizes image as “not good”
May 4
JD Vance defends Trump on X, calling it a joke … some Catholics were outraged, prompting a news cycle focused on the controversy …
5
Says “the Catholics loved it”
… before Mr. Trump suggested he had nothing to do with it.
Mr. Trump, who is not Catholic, had plenty of defenders, too. They said his commentary and the A.I. image were simply jokes, part of the president’s unique comedic style.
“As a general rule, I’m fine with people telling jokes and not fine with people starting stupid wars that kill thousands of my countrymen,” Vice President JD Vance, who is Catholic, wrote on X.
In his quest for attention, the president is often aided by a cottage industry of right-wing influencers and activists who are primed to syndicate, reinforce and defend whatever content he pushes out each day. For this conservative media ecosystem, Mr. Trump’s messaging and commentary are the raw fuel that drives clicks, shares and views.
On June 7, the president’s visit to a raucous U.F.C. fight – complete with a “Trump dance” entrance into the arena – generated an immediate spike in online interest, including about 50,000 posts on X. Five days later, when he promoted a “Trump gold card” visa, his announcement led to roughly 30,000 posts on X.
A barrage that distracts from bad news.
One pattern in Mr. Trump’s behavior: When his administration is faced with bad news, he launches a fusillade of distraction.
This can take the form of outlandish, out-of-left-field claims about political opponents. Or he might weigh in on a pop culture subject far afield from Washington politics – from the ratings of late-night hosts like Seth Meyers to the physical appearance of a megastar like Taylor Swift.
The events of July 2025 offer a case in point.
As the Jeffrey Epstein files returned to the news – along with speculation that Mr. Trump might appear in them – the president embarked on a breathtaking series of tangents. Mr. Trump claimed without evidence that former President Bill Clinton had bankrolled an effort by senior intelligence officials to frame him for a crime, mused about stripping the actress Rosie O’Donnell of her U.S. citizenship, and accused the singer Beyoncé of accepting millions of dollars to endorse his erstwhile rival, former Vice President Kamala Harris.
July 8
F.B.I. publishes memo about Epstein files On July 8, the F.B.I. said it would not declassify more Epstein files.
10
Claimed intelligence officials tried to frame him
10
Pushed to defund NPR and PBS
10 Directed ICE to arrest protesters
12
Threatened Rosie O’Donnell’s citizenship
15
Claimed Adam Schiff engaged in mortgage fraud Over the following days, Mr. Trump seemed to lash out in every direction.
On July 18, the Justice Department filed a request to unseal grand jury testimony about Mr. Epstein, again raising questions about Mr. Trump’s involvement. The president promptly lobbed insults at late-night talk show hosts, dismissed the Epstein affair as “fake news” and shared fresh claims about a supposed Obama administration plot to undermine him after the 2016 election.
July 18
Request filed to unseal grand jury testimony
On July 18, the Department of Justice filed a request — later denied — to unseal grand jury testimony.
20
Criticized Washington Commanders name
21
Called the “Russia hoax” the “crime of the century”
22
Called Epstein controversy “fake news”
22
Criticized Kimmel and Fallon
24 Criticized Federal Reserve chairman
Over the following days, Mr. Trump bounced from topic to topic.
On July 25, The Wall Street Journal published a major scoop: The paper had unearthed a risqué birthday letter that Mr. Trump had apparently written to Mr. Epstein in 2003. Mr. Trump responded with his attack on Beyoncé and revived his threat to revoke the broadcast licenses of TV networks. Then he announced the imminent construction of an enormous gilded ballroom at the White House, at a cost of $200 million. (He has since revised the cost upward to $400 million.)
Asked if there was a deliberate strategy to distract from negative news, Ms. Leavitt noted that every administration seeks to minimize unhelpful headlines.
“Yes, there have been times in which we’ve tried to do that, but also often it just happens naturally, because the president is willing to weigh in on so many subjects,” she said. “Sometimes it’s really not deliberate. It’s just him speaking his mind on whatever news cycle or news story is brought to him in that moment.”
He has added tricks to his arsenal.
Mr. Trump’s devotion to Truth Social mirrors the hair-trigger Twitter habit of his first term; on one recent December evening, he posted 158 times between 9 p.m. and midnight. And he has continued to appear on Fox News with certain preferred hosts.
But this year, he has added to his media arsenal by appearing in many more public spaces that fall outside of a president’s typical itinerary.
Mr. Trump has stopped by a Washington Commanders N.F.L. game, popped up in the New York Yankees locker room, attended the Ryder Cup golf tournament and the men’s tennis final at the U.S. Open, sat ringside at numerous U.F.C. fights, and traveled to the Daytona 500. He is the first sitting president to attend a Super Bowl. When FIFA staged the Club World Cup final in New Jersey, Mr. Trump not only attended, but joined the winning team onstage for the trophy ceremony.
The net effect is a sense of inescapability, that no corner of American life remains Trump-free – which itself amounts to a potent expression of presidential authority and command. “His power, in part,” said Mr. Burton, the former Obama aide, “comes from the attention that people give him, or that he forces on them.”
Can it ever be too much?
In the fall of 2009, President Barack Obama appeared on David Letterman’s talk show, gave interviews to CNBC and Men’s Health magazine, and made the rounds of all five major network Sunday shows. Washington was abuzz about whether he was overexposed.
That debate sounds quaint today. But the question of whether a president can be too visible remains open.
“The public is being desensitized” to Mr. Trump’s omnipresence, argued Mr. Brinkley, the historian. “It starts becoming blather. The enemy for Trump isn’t Democrats; it’s the public being bored with the show.”
Ms. Leavitt said that if there was a risk to his ubiquity, “President Trump would not be president right now.” She added: “He is a businessman who speaks his mind and tells it like it is, and sometimes people don’t like that. But obviously the vast majority of our country does, or else he wouldn’t be in this office.”
During Mr. Trump’s first term, the public eventually tired of his frenzied pace. And in some ways, Mr. Trump appears to be slowing down physically as he approaches his 80th birthday in June (which he will celebrate in part by staging a nationally broadcast U.F.C. fight on the White House lawn). He has appeared to doze at some Oval Office meetings, and he is holding fewer formal public events than he did at this point in 2017.
Still, Mr. Trump and his team have embraced the everywhere-all-at-once nature of modern media. Average Americans, busy with work and family, do not tune in for daytime news conferences or Cabinet meetings. And 6:30 p.m. newscasts and local newspapers are no longer the primary vessels by which Americans learn about their commander-in-chief.
Instead, politics now suffuses our lives as a kind of ambient noise – via TikTok videos, social media posts, YouTube talk shows and family Facebook messages – never fully separate from our leisure pursuits. “Right now the game is attention, in terms of what’s culturally breaking through,” Mr. Burton said. “The fact that so much message exists is the point.”
Mr. Trump has both propelled this merging of culture and politics, and continues to strategically exploit it. In December, he became the first president to personally host the Kennedy Center Honors, comparing himself onstage to Johnny Carson and musing that he would do a better job than Jimmy Kimmel.
“This is the greatest evening in the history of the Kennedy Center,” Mr. Trump told the crowd. “Not even a contest. There has never been anything like it.”
His performance will air in prime time on CBS on Dec. 23.
Photo and video sources: Graham Dickie/The New York Times; Doug Mills/The New York Times; Roll Call Factba.se; PBS; Mauro Pimentel/Agence France-Presse — Getty Images; Kenny Holston/The New York Times; The New York Times; Annabelle Gordon/Reuters; Eric Lee/The New York Times; Fox; Cheriss May for The New York Times; Wilfredo Lee/Associated Press; Margo Martin, via Storyful; Mark Abramson for The New York Times; Global News; Al Drago/Getty Images; Fox News; Dave Sanders for The New York Times; Pete Marovich for The New York Times; Ted Shaffrey/Associated Press … Show all
President Trump’s media company is merging with a nuclear fusion energy firm in a $6-billion deal aimed at generating more power amid growing demand from power-hungry artificial intelligence data centers.
The merger between Trump Media & Technology and TAE Technologies could lead to one of the world’s first publicly traded fusion energy companies, the two companies said Thursday.
What is TAE Technologies?
TAE Technologies is a private company based in Foothill Ranch, Calif. It has been raising funds for commercial-scale nuclear fusion, a method of energy production that supporters say could revolutionize access to electricity. Founded in 1998, the company has built and operated five fusion reactors and raised more than $1.3 billion.
Fusion uses the same process that powers the sun to produce potentially limitless energy. Experts say it hasn’t been achieved on a large scale because the process is volatile and expensive. TAE is trying to develop the technology needed to reduce the size, cost and complexity of fusion reactors.
“Our talented team, through its commitment and dedication to science, is poised to solve the immense global challenge of energy scarcity,” TAE Chief Executive Michl Binderbauer said in a statement. “Recent breakthroughs have prepared us to… commercialize our fusion technology.”
What is the political history of Truth Social?
Truth Social was launched in 2022 as Trump created an alternative to mainstream social media, which was increasingly restricting and blocking his posts and profiles, as well as those of his allies and supporters. It began trading on the Nasdaq stock exchange through a 2024 merger with a special purpose acquisition company.
While most social media platforms have lifted restrictions on Trump’s posts, he still primarily posts on his own platform.
Though Trump and companies he is associated with control more than a 40% stake in the company, much of his investment is managed by others to avoid a conflict of interest during his term as president. Some analysts suggest his indirect association with a new company in a highly regulated industry could also lead to issues.
TAE will need significant investment and regulation to advance, which makes Trump’s ties a major conflict, Richard Painter, a former White House ethics lawyer in the George W. Bush administration, told the Associated Press.
“He’s jumping into this industry just like he jumped into cryptocurrency a couple of years ago,” Painter said. “Just as the United States government is gonna get all involved in it. And it’s so obvious that there’s a huge conflict of interest.”
Trump Media shares, which had fallen more than 80% from their 2024 peak, have skyrocketed around 50% since the deal was announced.
The company now has a market value of more than $4.5 billion.
Why are the companies merging?
The parent company of Trump’s social media site, Truth Social, Trump Media & Technology, previously had little to do with energy production. The company agreed to merge with Alphabet-backed TAE Technologies, with the aim of paving the way for easier access to abundant electricity.
The merger aims to help both companies diversify and raise more money.
It is an attempt to combine Trump Media’s “significant access to capital” with TAE’s “leading fusion technology,” the companies said in a release.
They plan to begin construction in 2026 on the first-ever utility-scale fusion power plant.
“Fusion power plants are expected to provide economic, abundant and dependable electricity that would help America win the AI revolution,” the release said.
The boom in popularity of AI chatbots such as ChatGPT has created a seemingly insatiable new demand for power.
The Georgia Institute of Technology says modern AI data centers use as much electricity as a small city. As AI models grow, they demand even more power.
What are the terms of the deal?
The all-stock transaction announced this week values each share of TAE Technologies at $53.89, although it is a private company. Trump Media has agreed to provide $200 million in cash to TAE upon closing, expected in mid-2026.
When the merger is complete, TAE and Trump Media shareholders will each own about 50% of the combined company.
Trump Media will be the holding company for TAE, TAE Power Solutions and TAE Life Sciences.
The U.S. Space Force announced Friday it has awarded satellite contracts with a combined value of about $1.6 billion to Rocket Lab in Long Beach and to the Redondo Beach Space Park campus of Northrop Grumman.
The contracts by the Space Development Agency will fund the construction by each company of 18 satellites for a network in development that will provide warning of advanced threats such as hypersonic missiles.
Northrop Grumman has been awarded contracts for prior phases of the Proliferated Warfighter Space Architecture, a planned network of missile defense and communications satellites in low Earth orbit.
The contract announced Friday is valued at $764 million, and the company is now set to deliver a total of 150 satellites for the network.
The $805-million contract awarded to Rocket Lab is its largest to date. It had previously been awarded a $515 million contract to deliver 18 communications satellites for the network.
Founded in 2006 in New Zealand, the company builds satellites and provides small-satellite launch services for commercial and government customers with its Electron rocket. It moved to Long Beach in 2020 from Huntington Beach and is developing a larger rocket.
“This is more than just a contract. It’s a resounding affirmation of our evolution from simply a trusted launch provider to a leading vertically integrated space prime contractor,” said Rocket Labs founder and chief executive Peter Beck in online remarks.
The company said it could eventually earn up to $1 billion due to the contract by supplying components to other builders of the satellite network.
Also awarded contracts announced Friday were a Lockheed Martin group in Sunnyvalle, Calif., and L3Harris Technologies of Fort Wayne, Ind. Those contracts for 36 satellites were valued at nearly $2 billion.
Gurpartap “GP” Sandhoo, acting director of the Space Development Agency, said the contracts awarded “will achieve near-continuous global coverage for missile warning and tracking” in addition to other capabilities.
Northrop Grumman said the missiles are being built to respond to the rise of hypersonic missiles, which maneuver in flight and require infrared tracking and speedy data transmission to protect U.S. troops.
Beck said that the contracts reflects Rocket Labs growth into an “industry disruptor” and growing space prime contractor.
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