San Francisco (AP) – While Big Tech is launching its season of quarterly results this week, Bellwether companies in the industry were plunged into a cauldron of uncertainty and agitation that they had not planned when Donald Trump returned to the White House almost 100 days ago.
Since the inauguration of President Trump President on January 20, the actions of large technologies have been on a ride which avoided billions of dollars in wealth for shareholders in the middle of a prices and other potentially prejudicial actions.
This is the polar opposite of what Apple Tim Cook’s CEO, Tesla CEO, Elon Musk, CEO of Google Sundar Pichai, Facebook founder Mark Zuckerberg and the founder of Amazon, Jeff Bezos, hoped when they assembled behind Trump As he was sworn in.
This unit demonstration reflected the conviction that Trump’s second passage to the White House would be a refreshing change compared to the heavy regulations of the administration of President Joe Biden while unleashing even more lucrative of opportunities in artificial intelligence And competition.
But the Trump administration policies have so far annoyed the “Magnifice Seven” companies of Big Tech – a group composed of Apple, Microsoft, Nvidia, Amazon, Tesla, Google Parent Alphabet and Facebook Parent Meta. Since the inauguration of Trump, the combined market value of the Magnificent Seven has plunged 3.8 billions of dollars, or 22%, on April 20.
Financial damage was even more serious a few days after Trump’s unveiling on April 2 of the reciprocal scanning prices which would have demanded a heavy price on the supply chains of Big Tech in China and in other key markets around the world. A temporary freeze on the majority of the most punitive prices and an exemption from most of the fees on electronics from China have brought a certain relief, but Trump clearly said that the stay could be short -lived.
This has left the spectrum of Trump’s current trade in Big Tech, whose influence extends worldwide.
“The mass confusion created by this flow of new constants of the White House is dizzying for industry and investors and the creation of massive uncertainty and chaos for companies trying to plan their supply chain, their inventory and their request,” said Dan Ives, Wedbush Securities analyst.
In addition to the upheaval triggered by Trump’s prices, its administration is also trying to prove the allegations of regulators according to which Meta led an illegal monopoly in social networks and work to persuade a federal judge To break google After its search engine last year was found illegally abusing his power. Trump also gave no indication to give up Apple And Amazon.
And Nvidia absorbed an important setback last week when the Trump administration prohibited it from selling one of its popular AI chips in China, which prompted the company to Save fees of $ 5.5 billion To take into account the stock of processors he intended to export to this country.
The CEOs of technology will have the opportunity to discuss the repercussions of the trade war and other challenges still to come during the telephone conferences of the analyst who will be held within the framework of the financial reports of their companies for the January-March quarter.
The ritual will start on Tuesla on Tuesday on Tuesday to publish her full financial report after having already revealed that her Car sales in the first quarter dropped by 13% From the same time last year.
The decline occurred in a context of vandalism,, General protests and calls for consumer boycott In the midst of a reaction of the highly publicized role of Musk at the White House, supervising a purge of reduction in costs of American government agencies.
After Musk discussed his strategy to reverse a decrease in Tesla’s market value since he joined Trump in the White House, Google Parent Alphabet Inc. is expected to announce his results on Thursday. Then, four of the Magnificent Seven will get their turn next week: Amazon on April 29; Meta and Microsoft on April 30; and Apple on May 1.
Nvidia, which operates on an exercise ending in January, should conclude things on May 28 with the publication of its quarterly results.
