Technology companies are facing a slowdown, and the biggest players are not exempt.
Within the next two weeks, tech giants will be reporting their earnings, and the results don’t look so good. Meta, formerly Facebook, is set to report zero sales growth in almost a decade, and a decrease in roughly a third of net income. According to the Nasdaq 100 Index, Meta has lost half of it’s value this year.
Amazon’s net income is set to decrease by 82% from the year prior, with a rise in revenue projected at 6%, the slowest since 2001. The company is still dealing with investment issues from the pandemic, and are currently subleasing space and reducing their hourly workforce after online shoppers have returned to in-store purchases.
This trickle in projected growth is also affecting Apple. The company announced that supply-chain issues would affect sales by $8 billion, although sales from their online services could reach nearly $20 billion overall.
It’s not surprising that tech companies are facing an overall reduction in growth. Chip shortages and supply chain issues have affected industries around the globe, and made the gap in profits smaller for large businesses this year. Whether this trend will continue remains to be seen.
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