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Silicon Valley leaders donated to President Donald Trump’s marketing campaign or inaugural fund. They visited him at Mar-a-Lago and sat front-and-center as he was sworn into workplace. But within the first three months of his presidency, their wallets have taken a success from his insurance policies.
The firms based or run by Meta CEO Mark Zuckerberg, Apple CEO Tim Cook, Google CEO Sundar Pichai, Tesla CEO Elon Musk and Amazon founder Jeff Bezos have cumulatively misplaced almost $1.8 trillion in worth for the reason that begin of this yr, even after markets rebounded Wednesday in response to Trump’s pause on many deliberate tariffs. As a consequence, the private wealth of these leaders has shrunk, too.
Tech’s prime brass nearly definitely hoped to acquire some enterprise advantages by hitching their wagons to Trump’s — corresponding to fewer rules or lowered antitrust stress. And Trump has been keen to broaden the tech trade’s US footprint and cement America as a pacesetter in synthetic intelligence.
But the losses throughout Big Tech point out that Silicon Valley may even face a slew of new challenges within the wake of uncertainty round Trump’s tariff plans, which closely goal provide chains in Asia the place tech firms supply parts and assemble merchandise. Despite Trump’s pause on “reciprocal” tariffs that had been set to apply to many US buying and selling companions, tariffs on China will enhance to 125% from 104%.
And whereas tariffs pose a direct problem to tech giants, their financial ripple results may even have unfavorable implications if customers and advertisers tighten their purse strings.
Analysts had warned that long-term reciprocal tariffs, and the ensuing financial uncertainty, may shrink tech earnings by as a lot as 25%, in accordance to a Sunday report from UBS. That would mark a giant shift from the comparatively regular revenue and share value good points that Big Tech has loved in recent times thanks to AI.
On Monday, Wedbush Securities analyst Dan Ives described Trump’s tariff coverage as an “Armageddon” for the tech sector, including that it “makes the tech investing landscape the most difficult I have seen in 25 years covering tech stocks.”
Meta, Apple, Amazon, Tesla and a consultant for Musk didn’t reply to requests for remark. Google declined to remark.
Musk has skilled probably the most dramatic losses.
Despite donating not less than $290 million to assist Trump’s reelection and his involvement within the Department of Government Efficiency, the world’s richest man’s internet price has plunged $143 billion for the reason that begin of 2025, in accordance to Bloomberg Billionaires Index information from April 8. That’s due largely to the sharp decline in Tesla shares, weighed down by Musk’s controversial work within the authorities, growing competitors and now, the risk of tariffs.
Tesla shares fell 28% and its market capitalization dropped $376.6 billion for the reason that begin of this yr, as of market shut on April 9, having largely erased its post-election good points. Musk has said tariffs may have a “significant” affect on Tesla.
While Musk could also be within the highlight due to his proximity to Trump, he’s not the one distinguished tech determine to expertise current losses. (The most up-to-date internet price information accessible on the Bloomberg Billionaires Index is from April 8; the dimensions of their losses could also be smaller after the market’s rebound Wednesday.)
Meta was one of the primary large firms to pledge a $1 million donation to Trump’s inaugural fund, and Zuckerberg has met with Trump repeatedly, each earlier than and after he took workplace, to talk about coverage priorities. Zuckerberg additionally made a number of Trump-friendly changes to his business, together with elevating a distinguished Republican to the corporate’s prime coverage job, chopping skilled fact-checkers and including Trump ally and UFC boss Dana White to Meta’s board of administrators.
Zuckerberg’s internet price has fallen by $26.5 billion for the reason that begin of 2025. Meta’s share value has declined almost 2.25% year-to-date, dragging down the corporate’s valuation by $35.8 billion.
Bezos was fast to congratulate Trump on his election win in November, calling it an “extraordinary political comeback,” and Amazon donated $1 million to Trump’s inaugural fund. Bezos was additionally behind The Washington Post’s controversial determination not to endorse a presidential candidate within the 2024 election.
Bezos’ internet price has declined by $47.2 billion for the reason that begin of this yr, in accordance to Bloomberg. Amazon’s shares are down 13% year-to-date, bringing the corporate’s whole valuation down by $316.8 billion for the reason that begin of this yr.
Google donated $1 million to Trump’s inaugural fund and streamed the occasion dwell on YouTube. And Pichai joined the parade of CEOs who visited Mar-a-Lago within the weeks following the election.
But Google’s inventory has now fallen 16.2%, and its valuation is down $386.7 billion for the reason that begin of this yr.
Apple’s Cook additionally personally donated $1 million to Trump’s inaugural committee, Axios reported in January, after assembly with Trump at Mar-a-Lago following the election to talk about tariffs and European tech rules.
Apple additionally handed Trump a political win earlier this yr when it announced a $500 billion funding in US amenities over the following 4 years. Although some of these plans have been probably in place earlier than Trump took workplace, the president claimed credit score for the transfer, saying it confirmed “faith in what we are doing.”
But Apple, which produces many of its devices in international markets corresponding to China, Vietnam and India, is anticipated to take an particularly large hit from Trump’s tariffs. Its inventory is down 18.5% from the beginning of this yr, and $684 billion has been shaved off its market worth.
During Trump’s first time period, many large tech firms lobbied for exemptions from Trump’s tariffs. This time, nonetheless, the state of affairs is way much less sure, a degree that analysts at Moody’s Ratings made in a current analysis notice.
“While it is difficult to estimate the effects,” the analysts wrote, “we believe no technology subsector will go unharmed.”