Tech Giants Lose $2.7 Trillion as Market Turmoil Hits 'Magnificent Seven'

A combination of trade policy fears, recession concerns, and AI investment skepticism has driven a sharp sell-off in leading tech stocks.

The 'Magnificent Seven' tech companies—Tesla, Nvidia, Alphabet, Meta, Amazon, Apple, and Microsoft—have collectively lost $2.7 trillion in market value since the start of 2025.
Tesla has been the hardest hit, with its valuation dropping nearly 40% this year, driven by declining sales, a backlash against CEO Elon Musk, and his dual role in government and business.
Concerns over President Trump's trade tariffs and fears of a potential recession have added to market volatility, particularly affecting tech stocks heavily reliant on future growth projections.
Meta is the only company in the group to see gains this year, thanks to strong earnings and its reliance on digital advertising rather than physical goods, which are more impacted by tariffs.
Analysts are divided on whether the sell-off represents a temporary correction or signals deeper challenges for the tech sector, as skepticism grows over AI spending and earnings growth.