OECD in its Economic Outlook Report this month downgraded the global economic growth projection for 2020 from 2.9 per cent earlier to 2.4 per cent.
The famous big five technology corporations in the world — Facebook, Apple, Microsoft, Google, and Amazon (collectively known as FAMGA) have lost $623.23 billion in market cap as on March 13, 2020, since January 30, 2020, as per data from YCharts, when the World Health Organisation declared the Coronavirus outbreak a public health emergency. The collective market cap of the five companies has been erased from over $5.26 trillion to around $4.63 trillion. Apple — the largest technology company with the market cap of $1.417 trillion as on January 30 lost the most. Its market cap declined by $201 billion to $1.216 trillion till this past Friday.
Apple was followed by the $161.7-billion wipeout in Google’s parent Alphabet market cap from $1.001 trillion to $838.30 billion and Facebook’s from $597.25 billion to $485.37 billion — $111.88-billion decline. The other two in the top-five bracket — Microsoft and Amazon’s market caps went down by $106 billion and $42.65 billion respectively. Microsoft stood at $1.208 trillion as on March 13, 2020, while Amazon was valued at $888.59 billion due to the impact COVID-19 is having globally on the world economy.
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Businesses globally have been clamping down on their operations to limit the impact of the deadly disease on their employees and customers even as their growth has taken a hit. For instance, Apple said it would close its store outside Greater China until March 27, as reported by The Wall Street Journal, while Needham’s analyst Laura Martin, as per seekpingalpha.com, has cut Facebook’s 2020 revenue estimate from $85.14 billion to $83.39 billion.
The world economy is witnessing a shake-up in its growth ahead as the Organisation for Economic Co-operation and Development (OECD) in its Economic Outlook Report this month downgraded the global economic growth projection for 2020 from 2.9 per cent earlier to 2.4 per cent. The deadly virus has led to 5,845 deaths globally so far while over 1,57,456 cases have been reported, as per Worldometer.