Tech Giants’ Stocks Take A Battering As Executives Grilled On Capitol Hill
Technology companies continued their recent falls on Wednesday as Twitter and Facebook face Congress about what they are actually doing to combat foreign meddling in US elections.
Twitter chief executive Jack Dorsey and Facebook chief operating officer Sheryl Sandberg testified before the Senate Intelligence Committee amid threats of further regulations and sanctions against the companies.
This is largely due to their failure to block fake accounts and slow the disinformation thread that was all-pervasive across their respective sites prior to the 2016 US presidential election.
Senators were also angry that Google failed to send a senior executive to testify, instead being represented by an empty chair at the hearing.
Shares in Twitter plunged 6.2 per cent on Wednesday, while Facebook fell 2.3 per cent.
Other tech heavyweights also fell sharply: Microsoft fell 2.9pc, Amazon 2.2pc, Netflix 6.2pc and Google was down 1pc, while the Nasdaq Index suffered an overall fall of 1.2pc.
Sandberg and Dorsey were both at pains to emphasise that they were doing everything in their power to avoid a repeat of the 2016 debacle and to limit the political influence activity on their platforms.
Facebook recently announced that it had set up a dedicated unit to monitor the US mid-term elections in November.