According to a report by AppleInsider, the Trump Organization has announced its entry into the telecommunications market with a new brand called "Trump Mobile". It plans to launch its first smartphone, the T1, alongside Apple's (AAPL-US) release of the iPhone 17. The device is marketed as "designed and manufactured in America" and aimed at patriot supporters of Trump. However, there are doubts regarding the phone's manufacturing source and performance, with many viewing it as more of a branding opportunity than a genuine challenge to tech giants.

Trump Mobile will operate as a virtual network operator (MVNO), relying on major carriers such as AT&T, Verizon, and T-Mobile for network services. Its flagship offering, dubbed "The 47 Plan", is priced at $47.45 per month, providing 20GB of high-speed data followed by unlimited usage, free international calls to over 100 countries, and additional services like medical consultations and towing assistance. Nonetheless, Trump Mobile hasn't clearly communicated the details and potential costs associated with these extra services, nor established whether it supports eSIM technology, crucial for compatibility with current iPhones.

The T1 smartphone, expected to ship in August, will be priced at $499 with a $100 deposit for pre-orders. It features a gold exterior and boasts a 6.8-inch AMOLED screen, under-display fingerprint recognition, and AI facial unlocking, runs on the Android 15 system, and is equipped with 12GB of RAM and 256GB of onboard storage, expandable via memory cards. While the main camera is 50 megapixels, with additional 2 megapixel depth and macro lenses, analysts point out that the U.S. currently lacks manufacturers for AMOLED displays and facial recognition optics, which could mean these components are likely imported from abroad.

Despite Trump Organization's claim that the T1 is "designed and made in America", components such as the camera module, memory, processor, and battery all depend on foreign supply chains, conflicting with the idea of it being a "Made in America" product. Experts raise concerns about the profitability model, indicating that if Trump truly aims for "Made in America" claims, production costs will be significantly higher than the $499 retail price. While assembling phones in the U.S. isn't impossible, it's typically limited to very small scales and unable to meet mass production demands, making it difficult to reach profit targets when parts must be imported and taxed.

While this move may attract specific supporters' attention, experts believe that it won't disrupt mainstream brands like the iPhone.