As dismal earnings reports left tech stocks reeling last week, the fortunes of company founders saw the loss of billions. A group of tech billionaires have collectively lost nearly half a trillion dollars this year amid high inflation and rising interest rates.
According to Bloomberg index, Meta Platforms Inc META chief Mark Zuckerberg, Microsoft Corporation MSFT co-founder Bill Gatesand Oracle Corporation ORCL larry ellison have collectively lost $480 billion in paper wealth this year.
Zuckerberg’s net worth plummeted by $11.2 billion after disappointing earnings reports from Meta. The company’s revenue fell into the red for the second consecutive quarter.
Zuckerberg’s total wealth accumulation has fallen by more than $87 billion this year. He currently has a net worth of around $37.7 billion, a 73% drop from the peak of $142 billion in September 2021.
Tesla Inc. TSLA chief Elon Musk and Amazon.com, Inc. AMZN President Jeff Bezos have each seen more than $58 billion in wealth lost this year.
With rising inflation, consumer discretionary stocks tend to perform poorly. For example, the Constituents of S&P 500 Consumer Discretionary are down 31% since the beginning of 2022, compared to the S&P500which is down 18.21%.
While Musk is currently worth $212 billion, Bezos’ total wealth is valued at $134 billion.
Alphabet Inc. GOOGL founders Larry Page and Sergey Brin have lost over $40 billion in paper wealth this year.
Outside the United States, China Jack Ma, co-founder of Alibaba Group Holding Ltd BABA, has lost $9.3 billion in wealth this year. Currently he has a net worth of $29.1 billion.