You will be redirected back to your article in seconds

Tech Stocks’ Donald Trump Hangover Continues

Shares of large technology companies fell again Monday, as investors continue to worry that Silicon Valley will suffer under policies enacted under the regime of President-elect Donald Trump.

Apple, Facebook, Amazon, Netflix and Google slid below broader market indices in morning trading. That came after a sell-off last week in the days following Trump’s defeat of Hillary Clinton, who had counted far more supporters across the technology industry.

Apple shares were down 2.8%; the tech giant’s stock has dropped more than 5% since last Tuesday — representing a loss of more than $30 billion in market value. Meanwhile, on Monday Facebook stock was down 3.6%, while Google was off 2.7%, Amazon dropped 2.3%, and Netflix declined 2%.

Investors have focused on Trump’s protectionist trade positions and calls for greater restrictions on immigration, which could cut off a critical supply of talent for tech companies. When he was running for president, Trump called for a boycott of Apple products over its refusal to cooperate with federal agents investigating the terrorist attack in San Bernardino, Calif., last year, and he’s said he wants to force the company to move manufacturing operations to the U.S.

On Sunday, China’s state-run Global Times newspaper published an editorial warning that iPhone sales “will suffer a setback” if Trump carries out his promises to enact punitive tariffs on the country. Greater China represented 22.5% of Apple’s total revenue for the 2016 fiscal year ended Sept. 24. “If Trump imposes a 45% tariff on Chinese imports, China-U.S. trade will be paralyzed,” the paper said, adding that China can also limit the number of Chinese students studying in the U.S.

As a candidate Trump also charged that Amazon is a monopoly that has avoided paying billions in taxes — while Trump himself has boasted of not paying federal income tax for years — and issued a threat to Amazon over CEO Jeff Bezos’ purchase of the Washington Post, saying in a February speech about Amazon that if he became president, “They’re going to have such problems.”

Trump additionally blasted Facebook, Google and Twitter, alleging they somehow suppressed negative news about Hillary Clinton during the campaign, while in the wake of Trump’s victory Facebook has been put on the defensive about facilitating the spread of bogus news on the service. And Trump has also spoken out against large M&A deals, including AT&T’s proposed takeover of Time Warner.

In addition, Trump has said he opposes the FCC’s network neutrality regulations, which along with a Republican-led Congress has prompted speculation that the rules barring ISPs from discriminating against content may be dismantled. That could give broadband providers greater leverage in hiking fees they charge content companies to deliver high volumes of video and other data.

More Biz

  • THE MASKED SINGER: L-R: Monster (T-Pain)

    New-Model Murdochs: Fox Corporation to Emerge Tuesday

    A new era for the Murdoch clan and the media business begins with the debut of Fox Corporation on Tuesday, a day before Disney completes its acquisition of 21st Century Fox. The new-model Fox will begin trading Tuesday on the NASDAQ under the FOXA symbol. On Tuesday, 21st Century Fox will initiate a complex transfer [...]

  • mark Beaven

    If Spotify Is Holding Town Halls for Songwriters, They Must Be Open (Guest Column)

    Earlier this month, Amazon, Google, SiriusXM and Spotify challenged the Copyright Royalty Board’s decision to increase the compulsory mechanical rates paid to songwriters by 44% over the next five years. The streamers have come under fierce criticism for the move, which they claim is over the complexities of the CRB’s rules but is widely assumed [...]

  • iHeartMedia Promotes Angel Aristone to Executive

    iHeartMedia Promotes Angel Aristone to Executive VP of Communications

    Angel Aristone has been promoted to executive vice president of communications for iHeartMedia, the company announced today. According to the announcement, Aristone will continue to position iHeart as a media and entertainment leader through proactive strategic communication efforts on both a local and national level. She will also continue to oversee media relations and external [...]

  • Kevin Tsujihara

    Kevin Tsujihara Out as Warner Bros. Chief Amid Sexual Impropriety Scandal

    Kevin Tsujihara has resigned his post as chairman-CEO of Warner Bros. following an investigation into his relationship with actress Charlotte Kirk and allegations he used his clout to help her find work at the studio. In a statement, Tsujihara said he realized “my continued leadership could be a distraction and an obstacle to the company’s [...]

  • TV Ad Sales Upfronts

    NBCUniversal, Sky Make Joint Ad Offering as TV Upfront Looms

    NBCUniversal and Sky PLC will offer joint packages of advertising services, a new effort to monetize the European satellite broadcaster, which was purchased by parent Comcast Corp. for $39 billion last year. Advertisers will be able to reach customers in sundry international markets as well as the United States, using inventory across NBCU and Sky [...]

  • Robert Iger and Rupert Murdochcredit: Disney

    Wall Street Applauds as Disney Nears Finish Line on Fox Acquisition

    Wall Street is rooting for Disney as the media giant reaches the finish line this week in its 15-month quest to acquire most of Rupert Murdoch’s film and TV empire. Fox shareholders, on the other hand, are being a little more cautious. Disney is poised to close the $71.3 billion deal that took many twists [...]

  • Sony Music Names Amanda Collins Head

    Sony Music Names Amanda Collins Global Head of Corporate Communications

    Amanda Collins has been named executive vice president and global head of corporate communications for Sony Music Entertainment, effective immediately, it was announced today by CEO Rob Stringer. According to the announcement, in this role she will be responsible for the company’s global internal and external communications strategy and its implementation around the world, working [...]

More From Our Brands

Access exclusive content