‘Magnificent seven’ loom around uncertainty and turmoil amid Trump's turbulence

Leading tech firms loom around economic disturbance and uncertainty as they set to report the first-quarter earnings this week. The return of Donald Trump to the White House is one of the key reasons behind the current state of these big firms.Reciprocal tariffs and unstable markets have impacted the performance of the global economy.
The ‘magnificent seven’- which includes Apple, Meta, Microsoft, Nvidia, Amazon, Tesla, and Alphabet (google parent), are the leading firms of the technology sector and firms have altogether seen a blow of 22 per cent, which is $3.8 trillion from its market value as of Sunday.
“The mass confusion created by this constant news flow out of the White House is dizzying for the industry and investors and creating massive uncertainty and chaos for companies trying to plan their supply chain, inventory, and demand,” said Dan Ives, a tech analyst with Wedbush Securities.
The current rollercoaster in the market stands in stark contrast to the expectations and optimism once showcased by the heads of these seven firms- Apple’s Tim Cook, Tesla’s Elon Musk, Google’s Sundar Pichai, Meta’s Mark Zuckerberg, and Amazon’s Jeff Bezos — who appeared in rare harmony as they stood by US President Donald Trump at his January inauguration.
The support of these heads was not only symbolic- rather it was rooted in a calculated move that Trump’s comeback would ease the trade regulations, earlier set up by former President Joe Biden.
Rather than reaping the expected benefits, big tech now finds itself struggling to protect its footing.
The Trump administration’s hardline trade agenda — especially the sweeping reciprocal tariffs unveiled on April 2 — has disturbed global supply chains and overturned corporate planning. While a temporary suspension of the harshest tariffs and exemptions for Chinese electronics imports have offered momentary relief, President Trump has signaled that this grace period may be short-lived.
Alongside the trade tensions, Trump’s administration is still going after big tech with antitrust cases that started under former President Biden. Meta is being sued for allegedly running an illegal monopoly in social media, and Alphabet is fighting efforts to break up its control over online search. Apple and Amazon are also still under investigation and facing lawsuits.
Trumps' call to ban Nvidia from selling a key AI chip to China has resulted in a $5.5 billion charge tied to its unsold inventory of processors earmarked for Chinese markets.
With the onset of the earnings season, the heads of these big techs will be under pressure as they navigate their way through the current turmoil- both economic and political. With political challenges and shaken market confidence, this earnings season could be one of the most important for Big Tech in recent years.
Tesla will report first on Tuesday, after revealing a 13 per cent drop in car sales amid protests over Elon Musk’s involvement in the administration's cost-cutting efforts. Google parent Alphabet will follow on Thursday, with Amazon, Meta, Microsoft, and Apple reporting next week. Nvidia, operating on a different fiscal schedule, will finish earnings season with its report on May 28.