Financially troubled startup helped power Trump campaign

Financially troubled startup helped power Trump campaign

SeattlePI.com

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SAN FRANCISCO (AP) — President Donald Trump’s 2020 reelection campaign was powered by a cell phone app that allowed staff to monitor the movements of his millions of supporters, and offered intimate access to their social networks.

While the campaign may be winding down, the data strategy is very much alive, and the digital details the app collected can be put to multiple other uses — to fundraise for the president’s future political ventures, stoke Trump’s base, or even build an audience for a new media empire.

The app lets Trump’s team communicate directly with the 2.8 million people who downloaded it — more than any other app in a U.S. presidential campaign — and if they gave permission, with their entire contact list as well.

Once installed, it can track their behavior on the app and in the physical world, push out headlines, fundraise, sell MAGA merchandise and sync with mass texting operations, according to the app’s privacy policy and user interface.

Yet the enterprise software company that built a tool to propel Trump’s mass movement is in financial distress and has received key support from the administration and the president’s campaign, according to interviews with former employees, financial filings and court documents.

Austin-based Phunware Inc., whose stock is trading for pennies, recently agreed to pay Uber $4.5 million as part of a settlement over claims of fraudulent advertising and earlier this year risked being delisted from the Nasdaq. In April, the company got a $2.9 million loan under the Coronavirus Aid, Relief and Economic Security Act as it was building the Trump campaign app.

Campaign watchdogs and former employees alike marvel at how a struggling startup known more for building apps for hospitals and a Manhattan-based astrologer became a juggernaut in Trump’s...

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