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How TikTok Evaded a Ban Again and Again, Until Now

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How TikTok Evaded a Ban Again and Again, Until Now

In mid-2023, TikTok had just eluded an effort in Congress to ban the video app, the latest Houdini-like escape for the young tech company. For several years, during both Republican and Democratic administrations, lawmakers and officials had trained their sights on the app, saying its Chinese ownership posed a national security risk.

Inside TikTok, a small group of employees started formulating a plan to ensure that the regulatory threat would never reappear, three people with knowledge of the project said. The employees pitched a campaign of TV commercials, messages to users and other public advocacy to turn Washington’s attention elsewhere. They called it Project Achilles.

But TikTok’s leaders lost interest by the end of the year. Several, including Shou Chew, its chief executive, seemed to think the threat of a ban was no longer imminent, the people said. Project Achilles never became reality.

The misreading of the political winds could not have been greater.

Just a few months later, Congress overwhelmingly passed and President Biden signed a law that would ban TikTok unless the app’s owner, ByteDance, sold it to a non-Chinese company. On Friday, the Supreme Court upheld the law. TikTok is set to be removed from app stores on Sunday, when the law goes into effect.

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The ban will end a remarkable eight-year roller-coaster ride for TikTok in the United States. The company wriggled its way out of political danger time and again. The threats to its very existence came so often, from so many directions, dealing with them became almost second nature for executives — perhaps to the point of complacency.

All the while, TikTok reached new heights of popularity and public influence. It boasts 170 million monthly U.S. users, giving the company confidence that those masses could help beat back whatever regulators aimed its way. Behind the scenes, TikTok conducted secretive negotiations with government officials and advertising blitzes aimed at rescuing it.

But in the end, the company ran into a well-organized and focused effort among Washington officials that it could not stop. Its biggest gamble yet was that it could overturn the law and avoid a sale altogether — a bet that failed.

Many social media companies have skyrocketed in popularity only to fade away nearly as fast, and others, like Facebook and X, have faced tough scrutiny in Washington. But none have been effectively forced to erase their presence in the country. Only TikTok will have that distinction.

“The vast majority of people I’ve talked to have said TikTok will figure something out, without a very clear answer to what that something will be, because they always have,” said Joe Marchese, a venture capitalist and former TV network executive. People “can’t picture it not working out.”

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TikTok is already appealing directly to President-elect Donald J. Trump, who has vowed to save the app, somehow. Mr. Chew posted a direct appeal to Mr. Trump on TikTok after the Supreme Court decision, thanking him “for his commitment to work with us to find a solution that keeps TikTok available in the United States.” TikTok declined to comment on Project Achilles.

Late Friday, the company said that unless the Biden administration made it clear to service providers that they could continue providing services to the app after the law took effect, “unfortunately TikTok will be forced to go dark on Jan. 19.” But on Saturday, the White House press secretary called TikTok’s statement “a stunt.” And Mr. Trump indicated in an interview with NBC News on Saturday that he would “most likely” give TikTok a 90-day extension once he takes office on Monday.

TikTok users are grieving, often couching their dismay in dark humor. Few seem to believe the app will be blocked on Sunday.

“In 2020 I did an interview about the TikTok ban, and I was saying the same thing: ‘I don’t think it’s going to get banned,’” said Yumna Jawad, a recipe developer and content creator who goes by Feel Good Foodie. “Five years later, I’m still doing the same interview.”

Before it was TikTok, it was Musical.ly, a Chinese lip-syncing app popular with teenagers and tweens.

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Musical.ly’s two founders had nearly run out of venture funding for an education app when they decided to pivot to D.I.Y. music videos in 2014. The app let users film over 15-second clips of popular songs, often accompanied by a distinct brand of hand choreography.

As Musical.ly grew, ByteDance took notice. It paid around $1 billion for Musical.ly in 2017 and ultimately folded its technology and users into an app that ByteDance had launched internationally only a few months earlier: TikTok. By 2018, TikTok was roaring into the rankings of the most downloaded apps in the United States.

During the Covid-19 pandemic, TikTok became a mainstay in Americans’ lives. The app, with its endless stream of short-form entertainment, was perfectly positioned for a period when many people had more free time than ever. Or, as the musician Curtis Roach put it in the video that would make him one of the pandemic’s earliest breakout stars, a time when many people were “bored in the house.”

I joined just to post my little funny videos, and TikTok turned into something that can change somebody’s life,” Mr. Roach said in a recent interview.

TikTok seemingly left no corner of culture untouched.

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Emma Straub, an author and owner of the independent Books Are Magic bookstores, recalled seeing backlist titles like Madeline Miller’s “The Song of Achilles” suddenly in high demand after BookTok made them popular again. In the culinary world, TikTok sent feta cheese and, later, cucumbers flying off the shelves as home cooks clamored to recreate viral recipes. Jane Wickline leveraged parody videos into a role on “Saturday Night Live.” TikTok was the most downloaded app in the United States and world in 2020, 2021 and 2022.

Almost overnight, teenagers became household names. By November 2020, Charli D’Amelio had amassed 100 million followers, making her, at that time, the most-followed person on TikTok in the world. She became, at age 16, famous for recording dance videos in her bedroom. By 2021, her family would have a reality show on Hulu.

“It was a vehicle for my kids and us to follow their dreams,” said Marc D’Amelio, Ms. D’Amelio’s father.

As TikTok’s popularity surged, so did scrutiny from the U.S. government. But TikTok managed to evade almost everything officials threw at it.

The first serious effort to ban the app in the United States came in the summer of 2020 from Mr. Trump, during his first term as president. TikTok was already on edge after a ban in India. Then Mr. Trump raised concerns that ByteDance could hand over sensitive TikTok user data to the Chinese government.

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“As far as TikTok is concerned, we’re banning them from the United States,” he said in July 2020.

Mr. Trump later hedged, saying he did not mind if Microsoft or another “very, very American” company bought TikTok instead. In August, he issued an executive order that effectively barred app stores from hosting TikTok. It gave companies a 45-day deadline to comply.

TikTok sued to block the executive order. As the deadline approached, the company tried to find a path that would assuage Mr. Trump’s fears by having two American companies take a stake in a new U.S.-based company, TikTok Global, which would go public within a year. But at the 11th hour, the deal appeared to be imperiled by the Chinese government and conflicts over ByteDance’s involvement.

Suddenly the ban seemed imminent — and yet TikTok emerged unscathed.

That fall, two federal courts agreed with TikTok that the executive order was unlawful and stopped the ban from going into effect. Shortly afterward, Mr. Trump lost his bid for re-election, complicating policymakers’ approach to addressing the concerns they had about TikTok and shelving the contentious deal.

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TikTok wasn’t out of the woods. The Biden administration had many of the same national security concerns about the app. And some states began acting on their own against it.

By early 2023, more than a dozen states had blocked the app from government-owned devices and networks, joining previous bans by the Army and the Air Force. That April, Montana passed a law to block the app outright in the state to protect its citizens’ data from China. TikTok sued, saying the law was overreaching and violated the First Amendment.

Congress had also started discussing a ban in earnest — conversations that multiplied after lawmakers grilled Mr. Chew, TikTok’s chief executive, in a five-hour hearing in March 2023. TikTok had also been working for years on a proposal to show it could operate independently from China, but that same month, the Biden administration started to seem increasingly skeptical of it in public.

That fall, Republican lawmakers began accusing TikTok of amplifying pro-Palestinian and anti-Israel videos and a decades-old letter by Osama bin Laden through its algorithmic feed.

Yet by the end of 2023, TikTok had escaped defeat again. A huge lobbying campaign that included flying TikTok stars to Washington helped fend off the proposal that Congress had been discussing.

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The company’s legal case against the Montana law prevailed, too. That November, a federal court ruled that TikTok wouldn’t have to go dark in that state after all.

By December 2023, more than 150 million people were using TikTok in the United States.

With both the congressional effort and Montana’s ban behind them, some of TikTok’s top leaders seemed to believe the worst of the threats had passed.

Mr. Chew agreed to a rare profile in Vogue Singapore. Michael Beckerman, TikTok’s head of policy for the Americas, and Zenia Mucha, who oversees TikTok’s marketing and communications, were among executives who flew to Singapore, where Mr. Chew was based, and downplayed the near-term risk of a ban to company leaders, two people familiar with the trip said. After all, President Biden had just joined the app around the 2024 Super Bowl.

Ms. Mucha reflected that the company needed to “lower the temperature” and keep TikTok out of the news, according to four employees who heard her use the phrase when dismissing efforts, like Project Achilles, to prepare for a ban.

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What ByteDance and TikTok didn’t realize — despite their well-paid policy staff and millions in lobbying expenditures — was that a small bipartisan group of lawmakers was secretly working on drafting a new law designed to withstand every legal challenge that TikTok had raised in the past. It was formally introduced last March.

TikTok was blindsided. It scrambled to respond, flying creators to Washington and sending pop-up messages to users, urging them to call their representatives to oppose the legislation.

But this time, its campaign failed. Congress passed the bill rapidly, with rare bipartisan support, and Mr. Biden signed it into law in April, less than eight weeks after its introduction — leading some aides to nickname it “Thunder Run.” Unlike Mr. Trump’s executive action, the law was upheld in the courts.

Despite TikTok’s looming ban, it was largely business as usual inside the company.

Two weeks after Mr. Biden signed the TikTok law, Mr. Chew and his wife joined dozens of celebrity guests at the 2024 Met Gala in Manhattan, which TikTok sponsored. The company told advertisers like L’Oreal and Victoria’s Secret that it wasn’t backing down from its U.S. business over drinks in New York and on the French Riviera at the ad industry’s annual confab in Cannes. It said it would sponsor the Washington Capitals hockey team in September.

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TikTok executives have, at times, made light of the possible ban, suggesting in one staff meeting over the summer that it would one day be the subject of a Hollywood film.

In October, Mr. Beckerman held a gathering for his team in Lima, Peru, flying dozens of employees there, three people with knowledge of the outing said. The team outings were typically a mix of business and fun — but the jaunt struck some as surprising given the company’s situation. (TikTok said a hurricane had forced it to switch from an original destination of Miami.)

Now, TikTok is pinning its last hope on Mr. Trump.

Mr. Trump, who now has 14.8 million followers on his TikTok account, publicly changed his stance on the app last March. He has vowed to save it, though his options, even as president, are limited. He cannot overturn the law on his own, and it is not clear how he might stop its enforcement. He could try to exercise a one-time 90-day extension for TikTok if he determines sale talks are underway that would meet the terms of the law.

TikTok does not seem to be giving up. The company is spending thousands to be the headline sponsor of an event on Sunday, the day the law is scheduled to go into effect, celebrating the conservative influencers who helped shape the 2024 election. On Monday, Mr. Chew will attend the inauguration, alongside former presidents, family members and other important guests.

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TikTok’s stars do not seem to believe this is the final blow, either. Bethenny Frankel, the Bravo star and entrepreneur, said she had a hard time believing that TikTok could be gone on Sunday. TikTok’s users will figure out a way forward, she said.

“They’re club kids, and they’re going to figure out where the after-party is,” Ms. Frankel said. “They’re not letting the club get shut down.”

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Video: The Web of Companies Owned by Elon Musk

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Video: The Web of Companies Owned by Elon Musk

new video loaded: The Web of Companies Owned by Elon Musk

In mapping out Elon Musk’s wealth, our investigation found that Mr. Musk is behind more than 90 companies in Texas. Kirsten Grind, a New York Times Investigations reporter, explains what her team found.

By Kirsten Grind, Melanie Bencosme, James Surdam and Sean Havey

February 27, 2026

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Commentary: How Trump helped foreign markets outperform U.S. stocks during his first year in office

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Commentary: How Trump helped foreign markets outperform U.S. stocks during his first year in office

Trump has crowed about the gains in the U.S. stock market during his term, but in 2025 investors saw more opportunity in the rest of the world.

If you’re a stock market investor you might be feeling pretty good about how your portfolio of U.S. equities fared in the first year of President Trump’s term.

All the major market indices seemed to be firing on all cylinders, with the Standard & Poor’s 500 index gaining 17.9% through the full year.

But if you’re the type of investor who looks for things to regret, pay no attention to the rest of the world’s stock markets. That’s because overseas markets did better than the U.S. market in 2025 — a lot better. The MSCI World ex-USA index — that is, all the stock markets except the U.S. — gained more than 32% last year, nearly double the percentage gains of U.S. markets.

That’s a major departure from recent trends. Since 2013, the MSCI US index had bested the non-U.S. index every year except 2017 and 2022, sometimes by a wide margin — in 2024, for instance, the U.S. index gained 24.6%, while non-U.S. markets gained only 4.7%.

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The Trump trade is dead. Long live the anti-Trump trade.

— Katie Martin, Financial Times

Broken down into individual country markets (also by MSCI indices), in 2025 the U.S. ranked 21st out of 23 developed markets, with only New Zealand and Denmark doing worse. Leading the pack were Austria and Spain, with 86% gains, but superior records were turned in by Finland, Ireland and Hong Kong, with gains of 50% or more; and the Netherlands, Norway, Britain and Japan, with gains of 40% or more.

Investment analysts cite several factors to explain this trend. Judging by traditional metrics such as price/earnings multiples, the U.S. markets have been much more expensive than those in the rest of the world. Indeed, they’re historically expensive. The Standard & Poor’s 500 index traded in 2025 at about 23 times expected corporate earnings; the historical average is 18 times earnings.

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Investment managers also have become nervous about the concentration of market gains within the U.S. technology sector, especially in companies associated with artificial intelligence R&D. Fears that AI is an investment bubble that could take down the S&P’s highest fliers have investors looking elsewhere for returns.

But one factor recurs in almost all the market analyses tracking relative performance by U.S. and non-U.S. markets: Donald Trump.

Investors started 2025 with optimism about Trump’s influence on trading opportunities, given his apparent commitment to deregulation and his braggadocio about America’s dominant position in the world and his determination to preserve, even increase it.

That hasn’t been the case for months.

”The Trump trade is dead. Long live the anti-Trump trade,” Katie Martin of the Financial Times wrote this week. “Wherever you look in financial markets, you see signs that global investors are going out of their way to avoid Donald Trump’s America.”

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Two Trump policy initiatives are commonly cited by wary investment experts. One, of course, is Trump’s on-and-off tariffs, which have left investors with little ability to assess international trade flows. The Supreme Court’s invalidation of most Trump tariffs and the bellicosity of his response, which included the immediate imposition of new 10% tariffs across the board and the threat to increase them to 15%, have done nothing to settle investors’ nerves.

Then there’s Trump’s driving down the value of the dollar through his agitation for lower interest rates, among other policies. For overseas investors, a weaker dollar makes U.S. assets more expensive relative to the outside world.

It would be one thing if trade flows and the dollar’s value reflected economic conditions that investors could themselves parse in creating a picture of investment opportunities. That’s not the case just now. “The current uncertainty is entirely man-made (largely by one orange-hued man in particular) but could well continue at least until the US mid-term elections in November,” Sam Burns of Mill Street Research wrote on Dec. 29.

Trump hasn’t been shy about trumpeting U.S. stock market gains as emblems of his policy wisdom. “The stock market has set 53 all-time record highs since the election,” he said in his State of the Union address Tuesday. “Think of that, one year, boosting pensions, 401(k)s and retirement accounts for the millions and the millions of Americans.”

Trump asserted: “Since I took office, the typical 401(k) balance is up by at least $30,000. That’s a lot of money. … Because the stock market has done so well, setting all those records, your 401(k)s are way up.”

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Trump’s figure doesn’t conform to findings by retirement professionals such as the 401(k) overseers at Bank of America. They reported that the average account balance grew by only about $13,000 in 2025. I asked the White House for the source of Trump’s claim, but haven’t heard back.

Interpreting stock market returns as snapshots of the economy is a mug’s game. Despite that, at her recent appearance before a House committee, Atty. Gen. Pam Bondi tried to deflect questions about her handling of the Jeffrey Epstein records by crowing about it.

“The Dow is over 50,000 right now, she declared. “Americans’ 401(k)s and retirement savings are booming. That’s what we should be talking about.”

I predicted that the administration would use the Dow industrial average’s break above 50,000 to assert that “the overall economy is firing on all cylinders, thanks to his policies.” The Dow reached that mark on Feb. 6. But Feb. 11, the day of Bondi’s testimony, was the last day the index closed above 50,000. On Thursday, it closed at 49,499.50, or about 1.4% below its Feb. 10 peak close of 50,188.14.

To use a metric suggested by economist Justin Wolfers of the University of Michigan, if you invested $48,488 in the Dow on the day Trump took office last year, when the Dow closed at 48,448 points, you would have had $50,000 on Feb. 6. That’s a gain of about 3.2%. But if you had invested the same amount in the global stock market not including the U.S. (based on the MSCI World ex-USA index), on that same day you would have had nearly $60,000. That’s a gain of nearly 24%.

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Broader market indices tell essentially the same story. From Jan. 17, 2025, the last day before Trump’s inauguration, through Thursday’s close, the MSCI US stock index gained a cumulative 16.3%. But the world index minus the U.S. gained nearly 42%.

The gulf between U.S. and non-U.S. performance has continued into the current year. The S&P 500 has gained about 0.74% this year through Wednesday, while the MSCI World ex-USA index has gained about 8.9%. That’s “the best start for a calendar year for global stocks relative to the S&P 500 going back to at least 1996,” Morningstar reports.

It wouldn’t be unusual for the discrepancy between the U.S. and global markets to shrink or even reverse itself over the course of this year.

That’s what happened in 2017, when overseas markets as tracked by MSCI beat the U.S. by more than three percentage points, and 2022, when global markets lost money but U.S. markets underperformed the rest of the world by more than five percentage points.

Economic conditions change, and often the stock markets march to their own drummers. The one thing less likely to change is that Trump is set to remain president until Jan. 20, 2029. Make your investment bets accordingly.

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How the S&P 500 Stock Index Became So Skewed to Tech and A.I.

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How the S&P 500 Stock Index Became So Skewed to Tech and A.I.

Nvidia, the chipmaker that became the world’s most valuable public company two years ago, was alone worth more than $4.75 trillion as of Thursday morning. Its value, or market capitalization, is more than double the combined worth of all the companies in the energy sector, including oil giants like Exxon Mobil and Chevron.

The chipmaker’s market cap has swelled so much recently, it is now 20 percent greater than the sum of all of the companies in the materials, utilities and real estate sectors combined.

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What unifies these giant tech companies is artificial intelligence. Nvidia makes the hardware that powers it; Microsoft, Apple and others have been making big bets on products that people can use in their everyday lives.

But as worries grow over lavish spending on A.I., as well as the technology’s potential to disrupt large swaths of the economy, the outsize influence that these companies exert over markets has raised alarms. They can mask underlying risks in other parts of the index. And if a handful of these giants falter, it could mean widespread damage to investors’ portfolios and retirement funds in ways that could ripple more broadly across the economy.

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The dynamic has drawn comparisons to past crises, notably the dot-com bubble. Tech companies also made up a large share of the stock index then — though not as much as today, and many were not nearly as profitable, if they made money at all.

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How the current moment compares with past pre-crisis moments

To understand how abnormal and worrisome this moment might be, The New York Times analyzed data from S&P Dow Jones Indices that compiled the market values of the companies in the S&P 500 in December 1999 and August 2007. Each date was chosen roughly three months before a downturn to capture the weighted breakdown of the index before crises fully took hold and values fell.

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The companies that make up the index have periodically cycled in and out, and the sectors were reclassified over the last two decades. But even after factoring in those changes, the picture that emerges is a market that is becoming increasingly one-sided.

In December 1999, the tech sector made up 26 percent of the total.

In August 2007, just before the Great Recession, it was only 14 percent.

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Today, tech is worth a third of the market, as other vital sectors, such as energy and those that include manufacturing, have shrunk.

Since then, the huge growth of the internet, social media and other technologies propelled the economy.

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Now, never has so much of the market been concentrated in so few companies. The top 10 make up almost 40 percent of the S&P 500.

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How much of the S&P 500 is occupied by the top 10 companies

With greater concentration of wealth comes greater risk. When so much money has accumulated in just a handful of companies, stock trading can be more volatile and susceptible to large swings. One day after Nvidia posted a huge profit for its most recent quarter, its stock price paradoxically fell by 5.5 percent. So far in 2026, more than a fifth of the stocks in the S&P 500 have moved by 20 percent or more. Companies and industries that are seen as particularly prone to disruption by A.I. have been hard hit.

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The volatility can be compounded as everyone reorients their businesses around A.I, or in response to it.

The artificial intelligence boom has touched every corner of the economy. As data centers proliferate to support massive computation, the utilities sector has seen huge growth, fueled by the energy demands of the grid. In 2025, companies like NextEra and Exelon saw their valuations surge.

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The industrials sector, too, has undergone a notable shift. General Electric was its undisputed heavyweight in 1999 and 2007, but the recent explosion in data center construction has evened out growth in the sector. GE still leads today, but Caterpillar is a very close second. Caterpillar, which is often associated with construction, has seen a spike in sales of its turbines and power-generation equipment, which are used in data centers.

One large difference between the big tech companies now and their counterparts during the dot-com boom is that many now earn money. A lot of the well-known names in the late 1990s, including Pets.com, had soaring valuations and little revenue, which meant that when the bubble popped, many companies quickly collapsed.

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Nvidia, Apple, Alphabet and others generate hundreds of billions of dollars in revenue each year.

And many of the biggest players in artificial intelligence these days are private companies. OpenAI, Anthropic and SpaceX are expected to go public later this year, which could further tilt the market dynamic toward tech and A.I.

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Methodology

Sector values reflect the GICS code classification system of companies in the S&P 500. As changes to the GICS system took place from 1999 to now, The New York Times reclassified all companies in the index in 1999 and 2007 with current sector values. All monetary figures from 1999 and 2007 have been adjusted for inflation.

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