AI Boom, SPAC Revival, and a Market Monster Stock

20th August 2025

The White House officially joined TikTok with President Trump declaring “I am your voice,” aiming to reach younger voters despite ongoing national security concerns over the app’s Chinese ownership. In tech, Databricks is set to hit a $100 billion valuation after raising over $1 billion in new funding, fueled by rapid AI-driven growth and strong financial momentum. On Wall Street, Chamath Palihapitiya once known as the “SPAC King”  is staging a comeback with a new $250 million blank-check IPO targeting high-growth sectors like AI, energy, and defense. Meanwhile, Palantir continues to dominate the stock market, doubling again in 2025 after a 340% surge in 2024, with its AI platform driving soaring revenue and major government contracts, though its lofty valuation poses risks. All this in today’s Read It and Eat! 

Major headlines 

White House Joins TikTok With Trump Saying “I Am Your Voice”

The White House officially launched a TikTok account on Tuesday, aiming to reach the platform’s massive U.S. audience of more than 170 million users. The account, @whitehouse, debuted with a video of President Donald Trump declaring, “I am your voice,” paired with the caption: “America we are BACK! What’s up TikTok?” The move highlights Trump’s embrace of the app, which he credits with helping him build momentum among younger voters during his 2024 campaign against Democrat Kamala Harris.

At the same time, the decision is stirring debate in Washington, where lawmakers continue to raise concerns over TikTok’s Chinese ownership. Intelligence assessments in recent years have warned that TikTok’s parent company, ByteDance, could be compelled to share data with Beijing or allow the app to influence U.S. users. Trump has been negotiating a potential deal for U.S. investors to acquire TikTok’s American operations, but so far, no final agreement has been reached.

The launch of the @whitehouse account comes as Trump seeks to expand his communications strategy beyond Truth Social and X, leaning heavily on platforms that reach younger, more digitally native audiences. His campaign TikTok account, @realdonaldtrump, already boasts more than 15 million followers, and aides say the White House plans to build on that success. Press Secretary Karoline Leavitt framed the new account as part of the administration’s commitment to sharing “the historic successes President Trump has delivered to the American people” across as many platforms as possible.

Still, the timing has raised eyebrows. A law passed in 2024 required TikTok to shut down in the U.S. by January 19, 2025, unless ByteDance sold its American assets or showed real progress toward divestment. Since taking office, Trump has repeatedly extended the deadline most recently to September 17 frustrating lawmakers who argue that the administration is overlooking national security concerns. The White House’s embrace of TikTok, even as those debates play out, underscores both the app’s political power and the tricky balancing act between security and digital outreach. Yahoo.Finance 

Databricks Eyes $100B Valuation as Investors Double Down on AI Growth

Databricks is on track to join the world’s most valuable AI companies. The San Francisco–based data analytics giant confirmed Tuesday that it has signed a term sheet for a late-stage Series K funding round that would boost its valuation to over $100 billion up 61% from less than a year ago. The round is expected to top $1 billion, with backing from big-name investors including Thrive Capital, Insight Partners, and Andreessen Horowitz.

The fresh capital comes as Databricks reports strong financial momentum: $3.7 billion in annualized revenue as of July, 50% year-over-year growth, and cash-flow positivity since January. CEO Ali Ghodsi said investor interest surged following Figma’s blockbuster $1.22 billion IPO in July, calling it a sign that late-stage private companies are back in the spotlight. Databricks itself is considered one of the top candidates for a future public offering.

The company plans to use the new funding to expand its Lakehouse data warehouse, which gained traction after the Neon acquisition earlier this year, and to push deeper into AI agents autonomous systems designed to perform business tasks. M&A opportunities and top AI talent hires are also on the radar, reflecting the intensifying race among leading tech firms. With 15,000 customers worldwide including Block, Shell, and Rivian Databricks has carved out a strong position against competitors like Snowflake.

Analysts say the deal highlights how late-stage capital is concentrating around clear market leaders. “Investors are betting that Databricks can sustain its edge in a massive and growing market,” said Derek Hernandez of PitchBook. That thesis mirrors broader trends: OpenAI is reportedly nearing a $500 billion valuation in an employee share sale, while private companies are raising increasingly large rounds before going public. For now, Databricks looks well positioned at the center of the AI boom. Bloomberg 

‘SPAC King’ Stages a Market Comeback

Chamath Palihapitiya, once crowned Wall Street’s “SPAC king,” is making a return with a new blank-check IPO after stepping back from the scene in recent years. His latest venture, American Exceptionalism Acquisition Corp, aims to raise up to $250 million, according to a filing made late Monday. The move marks Palihapitiya’s reentry into the market that once made him a headline name during the height of SPAC mania.

In a letter to investors, Palihapitiya said he sees the greatest opportunities in companies tackling “fundamental risks” tied to globalization while promoting “American exceptionalism.” True to that vision, his new SPAC will target high-growth sectors such as AI, energy, decentralized finance, and defense areas currently drawing some of the biggest bets from venture capital.

The timing comes as the SPAC market shows fresh signs of life. August alone saw 17 new filings, up from 12 in July, according to SPAC Research. Other players are jumping back in as well: industry veteran Betsy Cohen filed for a SPAC focused on crypto, while Cantor Fitzgerald has also leaned into these deals under Brandon Lutnick, son of U.S. Commerce Secretary Howard Lutnick.

Still, Palihapitiya’s comeback comes with some baggage. SPACs had their heyday in 2020 and 2021, with big names like Bill Ackman and Michael Klein joining the rush, but the boom fizzled as regulators cracked down and investors grew wary. Many blank-check firms never closed deals, while others saw stock prices tumble after mergers. Whether Palihapitiya can revive his reputation as the face of SPAC success or just ride a temporary rebound remains to be seen. Bloomberg 

Meet the Monster Stock That Keeps Crushing the Market

Palantir Technologies (NASDAQ: PLTR) has been on an absolute tear. Not only was it the best-performing stock in the S&P 500 last year, but it’s held that crown so far in 2025 as well. Shares have already more than doubled this year through mid-August, on top of a jaw-dropping 340% surge in 2024. That kind of back-to-back performance doesn’t happen by accident, it's the result of a company firing on all cylinders.

So what’s driving the rally? Palantir has been growing at an extraordinary pace, fueled by big new contracts and rapid adoption of its Artificial Intelligence Platform (AIP). The company isn’t in the business of building flashy large language models. Instead, it provides the backbone of an “AI operating system” of sorts that cleans, organizes, and connects data so organizations can actually put AI to work in the real world. That practical focus has made Palantir indispensable to customers across government and industry alike.

The results speak for themselves. In Q2, revenue jumped 48% year over year to $1 billion. U.S. commercial sales nearly doubled, customer count climbed 43%, and existing clients are spending more net dollar retention rose to 128%. On the government side, Palantir signed a massive 10-year, $10 billion Army deal, while international contracts also accelerated. Put simply: growth is coming from everywhere, and it’s compounding fast.

Of course, nothing comes without risks. Palantir’s valuation is sky-high, with a forward P/S ratio approaching triple digits and a P/E near 275. Any stumble, slower adoption abroad, government spending cuts, or even a minor growth hiccup could hit the stock hard. Still, the upside is tough to ignore. AIP is already powering use cases from hospital care to supply chain management to insurance underwriting, and the company hasn’t even fully tapped into Europe’s commercial market. Pricey as it may be, Palantir looks like it could remain one of the most important AI stocks of the next decade. Yahoo.Finance