Trump Organization unveils $499 gold phone raising new concerns on conflicts of interest

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"Trump Organization Launches Mobile Phone Service and Gold Smartphone Amid Conflict of Interest Concerns"

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Donald Trump has officially launched a mobile phone service alongside a $499 gold smartphone, marking yet another venture for his family business empire now led by his sons, Donald Jr. and Eric Trump. The new service, branded as Trump Mobile, was announced with a monthly plan priced at $47.45, a nod to Trump being the 47th president. This venture not only includes the gold-cased T1 smartphone, which features an American flag etching, but also promises an array of services such as telemedicine and roadside assistance for a flat monthly fee. The announcement coincides with the tenth anniversary of Trump's presidential campaign launch, highlighting a shift from traditional real estate into the more competitive fields of digital media and telecommunications. Financial disclosures indicate that licensing deals connected to the Trump brand generated over $8 million for the former president in 2024, further solidifying the brand's market reach.

However, the launch of Trump Mobile raises significant concerns regarding potential conflicts of interest. As Trump's family business enters a heavily regulated sector, questions arise about the implications for federal oversight, particularly for the Federal Communications Commission (FCC), which is responsible for regulating telecommunications in the U.S. The chairman of the FCC, Brendan Carr, now faces the challenge of overseeing matters that directly involve the business of the sitting president. The T1 smartphone, which operates on Android 15 and boasts mid-range specifications, is positioned as a luxury device despite being priced significantly lower than flagship models from competitors like Apple and Samsung. The smartphone market is notoriously difficult for new entrants, dominated by established players who have a strong foothold in consumer electronics. Despite these challenges, the Trump Organization's foray into mobile technology represents a bold attempt to leverage the political brand into new commercial opportunities, with more products expected to follow in the future.

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Donald Trumphas launched a mobile phone service and $499 gold smartphone, the latest monetization of his presidency by a family business empire now run by his sons.

The Trump Organization unveiledTrump Mobileon Monday with a $47.45 monthly plan – both the service name and price referencing Trump as the 47th president. The company will also sell a gold-cased “T1” smartphone in September etched with the American flag.

The venture will be headed by his sons Donald Jr and Eric Trump, who took over the company after Trump transitioned to his second presidency. The mobile service joins Trump-branded watches, sneakers and Bibles as products capitalizing on his political brand, with the Trump sons indicating that more is to come.

“We are going to be introducing an entire package of products where people can come and they can get telemedicine on their phones for one flat monthly fee, roadside assistance on their cars, unlimited texting to 100 countries around the world,” Donald Trump Jr said at theMonday morning announcementat Trump Tower in New York.

The news coincided with the 10th anniversary of Trump’s 2016 presidential campaign launch when he memorably came down the escalator, and as the family business expands from real estate into digital media and telecommunications. The venture will operate through licensing deals that generatedover $8mfor the president in 2024, according to financial disclosures from Friday.

The foray into phones raises new questions about conflicts of interest, with the president’s family business entering a sector heavily regulated by federal agencies while Trump wields executive power over them. It creates a particularly difficult situation for the Federal Communications Commission chairman, Brendan Carr, who must now oversee regulatory matters affecting a network bearing his boss’s name.

The T1 smartphone runs Android 15 with mid-range specifications including a 6.8in display, 50MP camera and 5000mAh battery. At $499 it costs a third of the price of flagship iPhones, but appears to be marketed as a luxury device because of its gold casing. Notably, the T1 brings back the headphone jack, a feature largely abandoned by smartphone manufacturers over the years.

On its website, Trump Mobile claims coverage matching major carriers Verizon, AT&T and T-Mobile, which collectively hold control of nearly the entire wireless market in the US. The smartphone market represents a challenging sector for new entrants, as Apple and Samsung – which are manufactured overseas primarily in China, Vietnam and India – dominate sales in the US, according toresearch by Counterpointfrom May.

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Source: The Guardian