How developing world will end Silicon Valley's dominance

Immediately after the US announced that it was raising tariffs on an additional $300 billion worth of Chinese products on Aug 1, the US stock market tanked. By Aug 5, the Dow Jones Industrial Average had fallen 3.3 percent and the S&P 500 index had fallen 3.7 percent.

The hit on tech stocks was even sharper. Their fall was obviously triggered by the trade war, but also reflects fundamental underlying weaknesses in US tech companies.

Apple's share price fell almost 8 percent from Aug 1 to the market close on Aug 5. In the same period, Facebook fell 6.5 percent, Alphabet (Google's holding company) 5.5 percent, Amazon 5.7 percent, Microsoft 4.2 percent, and Netflix 4.2 percent.