Once popular tech stocks like Facebook and Apple are now getting crushed: Here's what happened

Technology stocks were hit hard on Monday, with some of the biggest U.S. companies leading losses across the sector.

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The tech-heavy Nasdaq Composite fell 3 percent as it continued a 6-week slide. The index was led lower by Facebook, Apple, and Nvidia.

Facebook’s stock hit its lowest level since February 2017 on Monday. Facebook is one pace to finish its third straight month in the red, which would be its longest monthly losing streak ever.

The social media giant’s shares fell more than 5 percent after The Wall Street Journal reported that CEO Mark Zuckerberg blamed second-in-command Sheryl Sandberg for the Cambridge Analytica scandal and its subsequent fallout. The WSJ’s report adds more fuel to criticism of Facebook’s handling of the scandal and whether the two top executives have been too slow to change its platform. The New York Times detailed last week how the company ignored and then tried to hide that Russia used the platform to disrupt the U.S. election in 2016.

Apple shares dropped 4 percent as the WSJ reported the Cupertino, California company has cut production for iPhones announced in 2018. Apple has slashed orders for the iPhone XR, XS and XS Max models, according to the report. The company’s stock fell back into a bear market, down 20 percent from its 52-week high.

Nvidia shares fell 11 percent, continuing a slide begun on Thursday. The company reported third-quarter results which missed revenue and guidance expectations. Nvidia “stock will likely not bounce back right away, given the severity of the miss,” Morgan Stanley said after the results. The chipmaker is also nursing a “crypto hangover,” CEO Jensen Huang said after the report, as gaming card demand has fallen off after bitcoin and other cryptocurrencies’ prices nosedived.

Bitcoin has suddenly come under pressure again, down 12 percent on Monday. The cryptocurrency has fallen more than 22 percent in the last seven days, after months of relatively calm trading. Bitcoin was worth nearly $20,000 near the end of last year before selling off, hitting a low of $4,891.24 on Monday.

Each of the five ‘FAANG’ stocks – Facebook, Amazon, Apple, Netflix and Google-parent Alphabet – slipped into a bear market during Monday trading. Wall Street defines a bear market as a fall of 20 percent or more from a stock’s 52-week high.

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Cloud stocks get hammered, with Salesforce suffering worst day since early 2016

The market sell-off is is crushing cloud stocks.

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Salesforce had its worst day since February 2016, plunging 8.7 percent on Monday to $121.01, leading a swoon in shares of companies that sell subscription software. Workday fell 7.6 percent, ServiceNow dropped 8.4 percent and Atlassian fell 8.7 percent.

A number of cloud stocks plummeted more than 10 percent, including Okta, Coupa, Everbridge, Five9, HubSpot, Shopify, Tableau, Twilio and Zendesk. The sector has been hot this year, spurred by big acquisitions, IPOs and a general shift in spending from desktop software to the cloud.

There was no obvious catalyst to Monday’s slide, with earnings season behind us and businesses thinning out ahead of the Thanksgiving holiday. But the broader market decline is having an outsized impact on technology. Facebook continues to drop on unfavorable news regarding abuse of its platform and Apple slid after the Wall Street Journal reported the company has cut production orders for new iPhones.

Joe Terranova, chief market strategist with Virtus Investment Partners, told CNBC on Monday that concerns around economic growth are hurting tech companies.

“You’re not seeing what you saw at the beginning of this year,” Terranova said. “Whereas you saw a significant enterprise spend on software, on services — that’s dissipating.”

The Dow Jones Industrial Average and S&P 500 both fell more than 1.5 percent, while the tech-heavy Nasdaq lost 3 percent, and is now 13 percent below its high reached in August.

Even after the cloud slide that began in late September, Salesforce is still up 18 percent for the year, while Twilio is up more than 200 percent.

WATCH: We could be in a bear market, but this expert sees opportunity for investors

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The Amazon-Berkshire-JPM health venture just hired first female exec, from a big insurance company

The joint health care venture by Amazon, Berkshire Hathaway and J.P. Morgan has hired a well-known health insurance exec who specializes in analyzing data to improve patient health.

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The group has scooped up Dana Gelb Safran, formerly a chief performance measurement and improvement officer at Blue Cross Blue Shield of Massachussetts, CNBC has learned. Safran will start her new gig early next year with the title “head of performance.” A spokesperson for the health initiative confirmed the hire.

The new hire suggests the initiative’s decision-making will be data-driven, with technology at the front and center. Safran’s bio on her speaker bureau page says she’s recognized for her work developing an “empirical basis for our nation’s push to a more patient-centered health care system.” Having an exec who worked at a health plan could also be useful if the group decides to take on traditional insurers.

Safran’s background and personal interests are in line with others on the team. Gawande has taken some bold approaches in his writings on the health industry, where he’s talked about the need for some fundamental changes on everything from end of life care to over-prescribing and over-treatment. Stoddard also has a background in technology through his previous start-up in the employer health space, Accolade.

The group’s charter is vague, but it’s exploring how to improve health care outcomes and lower costs, starting with three companies’ 1.2 million employees. It’s led by Atul Gawande, a physician and author, and its chief operating officer is Jack Stoddard, who formerly worked on digital health initiatives at Comcast. It has also hired Deloitte Monitor, a consulting firm, to offer strategic guidance. With Safran coming on board, the Boston-based group has grown to at least four employees and is actively recruiting senior leaders.

The group has not yet announced a name. It still goes by “health initiative.”

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Tesla is turning to partners to help with a growing used-car business

To manage a growing used car business, Tesla is relying on outside firms, including Manheim and Adesa, according to two people familiar with the situation. These businesses help move and manage used cars, putting them through inspections, reconditioning and sales to wholesale customers.

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As it has ramped up vehicle production and sales, Tesla has been grappling with what CEO Elon Musk called “delivery logistics hell.” A burgeoning volume of used cars poses yet another operational challenge to Tesla, while also giving the company new revenue streams and a way to bring electric vehicles to the masses.

This move is something of a departure for Tesla, which operates as a “vertically integrated” business that sells its new cars direct-to-consumer, provides repairs to via its own service centers, and manufactures parts of its cars that most auto-makers don’t attempt to, including its own batteries, car seats, and chips that power Tesla Autopilot features.

Tesla is handling a higher volume of used cars than ever before, in part, because it offered a 2-year lease option for its Model S and Model X electric vehicles back in third quarter of 2016, and 3-year leases before that.

One Tesla employee involved in the growing used car operation said around half of the Tesla vehicles that go to its partners come back retail-ready, allowing Tesla to sell them as certified pre-owned vehicles, or to use them as loaners and employee cars right away. Its partners sell some of the other Tesla vehicles via physical and online wholesale auctions.

Most of what Tesla sends off to its partners are Model S and Model X cars coming off lease, but others are trade-ins (including some made by other auto makers), lemons, or cars repossessed after non-payment, people familiar said. Tesla’s used car inventory has barely begun to include Model 3s.

Recent job listings posted online by Tesla to its careers page and Glassdoor.com, including listings for a Used Vehicle Quality Specialist, Remarketing Manager, Used Vehicle Sales Advisor and others-, reveal that the company is targeting a “30-day or less turn-rate in the sale of pre-owned inventory.” The job listings also acknowledge that Tesla is working with third-party vendors on “timely and high quality repairs.”

Manheim, which is a division of Cox Enterprises, and Adesa, which is part of Kar Auction Services, both declined to comment citing client confidentiality. Tesla also declined to comment.

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Payments company Square drops 10 percent amid a broader sell-off in once-loved technology stocks

Shares of payments company Square dropped 10 percent Monday as major tech stocks struggled to find footing.

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Square‘s stock fell 10 percent to roughly $63 after, bringing its one-month losses to 14 percent. Shares of the San Francisco-based company, run by Twitter CEO Jack Dorsey, had been on a tear for most of this year and are still up 80 percent since January.

Last week, Square said in a securities filing that its finance chief Sarah Friar would leave a few weeks earlier than expected. Square had announced in October that Friar had accepted a job as CEO of social-networking firm Nextdoor.com, and would stay in her role as CFO until December. On Thursday though, the fintech company said her last day would be November 16 because she wanted to spend more time with her family, according to the SEC filing.

Timothy Murphy and Mohit Daswani, two executives from the company’s finance department, will serve as interim Co-CFOs until Friar’s role is permanently filled. Square board member and former Goldman Sachs finance chief David Viniar is overseeing the search.

The company also said in a securities filing Jack Dorsey had sold roughly 130,000 shares, worth about $7.4 million at the time, in a pre-scheduled sale last week.

Bitcoin was also lower Monday and fell below $5,000 for the first time since last October. Square offers bitcoin trading through its popular Square Cash app and said it generated $43 million in revenue from the cryptocurrency in the third quarter.

Square is well-known in the payments sector for its credit card processor, payment hardware and popular Cash app but has also moved into small business lending through Square Capital.

Apple, Amazon and Facebook also weighed on markets Monday with the S&P technology sector pulling back 3.9 percent. The Dow Jones Industrial Average fell more than 500 points, while the S&P 500 dropped 2 percent.

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How National Geographic is exploring what happens when life on Mars goes from glamorous to gritty

Thanks to science fiction, and the activities of private companies like SpaceX and Blue Origin, the prospect of humans in deep space seems closer than ever.

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While many people entertain the idea of traveling the universe, the concept is rosy but the dangers are sometimes downplayed. It raises the question of whether popular culture is overly romanticizing the stark realities of outer space — and all that’s involved in living off Earth.

Enter “MARS,” an ambitious National Geographic series that explores the idea of terraforming the red planet. Now in its second season, the show underscores the often grim challenges faced by a fictional team of astronauts charged with the responsibility of developing a functioning colony on Mars. By all indications, it’s hardly a vacation in Las Vegas or the Caribbean.

NatGeo’s project utilizes a hybrid storytelling format that fuses fiction and documentary-style segments, with the fictional narrative interspersed with interviews from real-life scientists, astronauts and sci-fi enthusiasts. In some ways, “MARS” can be seen as a version of MTV’s “The Real World” — inviting the audience to imagine what happens when astronauts stop being polite, and start getting real.

At least for the moment, the show lacks the cultural import of something like “Star Trek,” with its popular if not debatable trope involving the low-level crew member — usually clad in a red uniform — who dies before the opening credits even begin rolling.

However, “MARS” successfully drives home a bleak concept that arguably gets lost in the excitement over the next phase of space exploration: It won’t be easy, and space isn’t filled with glittering metropolises, massive spaceships and friendly aliens. In fact, the hazards that await are likely to kill at least some of outer space’s first pioneers.

“The mission to terraform a virgin planet comes with heavy adjustments, including how humans [will] cope with contamination, illness, death, natural disasters and even the first Martian baby,” a synopsis of the second season of “MARS” reads.

To be certain, modern-day science fiction is suffused with lots of cautionary tales of what can go wrong with space exploration, and what occurs when technology and human nature take a darker turn. For example, Netflix’s “Lost in Space” reboot features a host of unknown dangers astronauts face on other planets (including toxic ecosystems and killer robots).

The negative implications of technology and space travel is enough to make Andy Weir — a sci-fi author who serves as a consultant for NatGeo’s “MARS” and who wrote the best-selling “The Martian” — think society is bordering on “technophobia.”

Much of science fiction “has been taken over by miserable, dystopian stuff,” Weir told CNBC recently. “There’s very little science fiction going on nowadays that has a positive message or a happy world that you’d actually like to live in.”

While not outright apocalyptic, “MARS” shows the underbelly of colonizing another planet, and all that can go awry when humanity is faced with the unknown, and high tech is thrown in the mix. For his part, Weir acknowledged the downsides of technology, but insisted that “I don’t think that’s how technology ends up working.”

He cited instances in the development of medicine, energy and other areas where “the positive applications, in practice, dramatically outweigh the negative applications.”

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The bull market's favorite trade is dead: Every 'FAANG' stock is now in a bear market

Each of the five ‘FAANG’ stocks slipped into a bear market during Monday trading.

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The FAANG stocks – Facebook, Amazon, Apple, Netflix and Google-parent Alphabet – have fallen steadily over the last 6 weeks as the companies delivered disappointing earnings and mixed forecasts.

Facebook in particular has been hard hit during this round of selling, falling to a new low for the year after a raft of negative publicity surrounding its handling of foreign influence on the 2016 election. Collectively, the five stocks have lost nearly $1 trillion in value since hitting their respective 52-week highs.

Tech stocks are coming off an October which saw the Nasdaq Composite plunge 9.2 percent, its steepest drop in a month since November 2008.

Wall Street defines a bear market as a fall of 20 percent or more from a stock’s 52-week high.

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Amazon stores every conversation you have with Alexa — here's how to delete them

According to Amazon’s Alexa terms of use, Amazon collects most of what you speak to Alexa. That includes any interactions with Alexa, the location of the product that Alexa is running on, and your voice instructions. Specifically, Amazon says this:

Your messages, communication requests (e.g., “Alexa, call Mom”), and related instructions are “Alexa interactions,” as described in the Alexa Terms of Use. Amazon processes and retains your Alexa Interactions and related information in the cloud in order to respond to your requests (e.g., “Send a message to Mom”), to provide additional functionality (e.g., speech to text transcription and vice versa), and to improve our services.

Amazon says it saves these recordings in the cloud until you ask to delete them. But when I checked, it had stored conversations back to March 2016, but I had an Echo since September 2015, so it’s not perfectly consistent. Either way, you should assume that anything you say to Alexa will be stored by Amazon indefinitely.

But, understand: Both Amazon’s Alexa privacy FAQ and an Amazon spokesperson says Amazon does not record your conversations all of the time, but only when you speak the wake word “Alexa.”

In other words, Amazon promises Alexa isn’t always listening to you.

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Nvidia continues to fall as much as 8 percent after revenue and guidance miss

Nvidia continued to slide as much as 8 percent Monday before settling down around 6.5 percent. The chip-maker fell as much as 19 percent Friday after missing on revenue and guidance in its third-quarter 2019 earnings report.

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Nvidia was just one of several tech stocks that dipped Monday, including the FAANG stocks, some of the largest on the Nasdaq. Facebook, Apple, Amazon, Netflix and Google parent company Alphabet all slid during early trading and the Nasdaq Composite Index was down 1.6 percent.

Nvidia missed revenue expectations of $3.24 billion per Refinitiv, with the company recording $3.18 billion for the quarter. CEO Jensen Huang said on a call with analysts following the report that surplus inventory contributed to lower-than-expected guidance for the next quarter, which Nvidia estimated will be $2.70 billion, plus or minus, 2 percent, excluding certain items. Analysts were expecting $3.40 billion, according to the Refinitiv consensus estimate.

One of Nvidia’s top competitors and the best performing tech stocks of the year, Advanced Micro Devices, also continued to slide Monday. The stock was down as much as 6 percent in early trading.

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Disney gets approval from China for its Fox acquisition, sending shares of both companies up

Chinese regulators approved Disney’s proposed acquisition of Twenty-First Century Fox assets Monday, CNBC has learned, sending each company’s stock higher.

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Shares of Disney rose roughly 1 percent, after initially trading lower Monday morning. Shares of Fox rose 3 percent.

The deal still needs regulatory approval from several countries, but the unconditional Chinese approval marks a big hurdle for Disney, amid ongoing trade tensions. U.S. antitrust regulators approved the deal in June, and EU regulators approved the deal earlier this month — though both attached divestment conditions.

A deal could be completed as early as spring 2019.

Disney initially agreed in December to buy the majority of Fox for $52.4 billion in stock. The deal at the time included Fox’s movie studios, networks National Geographic and FX, Star TV, and stakes in Sky, Endemol Shine Group and Hulu, as well as regional sports networks.

The company later upped its bid north of $70 billion, beating out CNBC-parent company Comcast in a bidding war.

Disclosure: Comcast owns NBCUniversal, the parent company of CNBC.

—CNBC’s Alex Sherman contributed to this report.

This story is developing. Please check back for updates.

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