Big tech stocks like Alphabet, Apple, and Facebook have come under pressure amid reports of federal probes around antritrust issues and data privacy concerns. It’s unclear whether the companies’ stock prices will suffer in the long run as uncertainty surrounds the scope of the probes. But market strategists and legal experts are warning big-tech investors face major risks. Visit Market Insider’s homepage for more stories.
Federal regulators are knocking at Big Tech’s door.
The US Federal Trade Commission will oversee any antitrust probe into whether Facebook‘s practices hurt competition into the digital market, the Wall Street Journal reported earlier this month. The news sent the social network’s shares plunging and dragged the entire technology sector lower.
Alphabet and Apple saw their stocks fall on similar press reports the same day that the US Department of Justice was preparing antitrust probes into each company. Meanwhile, Sen. Elizabeth Warren — the Massachusetts Democrat and US presidential candidate — proposed earlier this year a plan to break up big tech companies including Amazon, Google, and Facebook.
While it remains to be seen whether reported probes and proposals into antitrust matters and privacy concerns will mark a death knell for the likes of
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