Amazon turned out to be first public company that lost $1 trillion in market value

As it was registered on Wednesday, the Amazon company’s shares dropped by nearly 4.3%, which, in its turn, led to the company’s market value decreasing to the level of about $979 billion. For comparison, its record high market value, reached in July 2021, was $1.88 trillion.

The technology sector is still under the heavy influence of concerns about possible recession that weaken sentiment within the sphere. A decline in market value by almost $4 trillion was reported by five most significant tech companies of the U.S.

Amazon has also faced certain difficulties this year while spending most of the time adapting to a notable slowdown in growth of e-commerce. The fall is linked with the customers’ turning back to their pre-pandemic shopping habits. The company’s shares saw a nearly 50% decline over the year under unfavorable conditions of reducing sales, high costs and interest rate hikes.

Last month, the e-commerce giant forecasted that the period of holidays will bring a new record for the slowest pace of revenue growth in Amazon history. Their expectations are backed by the fact that customers are cutting their spending as the economic situation is uncertain.