The Internet industry thrived, thanks to the paradigm shift following the COVID-19 pandemic. However, the weak macroeconomic environment spells trouble for companies that expanded exponentially to capitalize on the pandemic-led opportunities. Many such companies are now struggling with high costs and fierce competition.
According to Statista, internet users in the United States have grown from 288 million in 2020 to 299 million in 2022. However, the Fed’s aggressive interest rate hikes to tame the surging inflation has put pressure on high-growth Internet stocks.
