Investors will remember 2022 as the year when the narrative around Big Tech finally cracked, ending a years-long stretch of powerful market leadership. Next year offers few signs of relief.
Marquee stocks like Amazon.com Inc., Alphabet Inc., Tesla Inc., Nvidia Corp., and Meta Platforms Inc. have lost a third of their value or more this year, and the tech-heavy Nasdaq 100 Index has fallen 28%, wiping out about $5.6 trillion of market value.
Surging inflation and interest rates have eroded the favorable conditions that contributed to tech’s years-long advance, raising the prospect of recession in 2023. While that’s hit the whole stock market, highly valued tech stocks had further to fall.
