As investors wonder why several big-name tech companies have seen their stock prices drop significantly, Elevation Partners co-founder Roger McNamee said Tuesday it's a case of the sector returning to the norm.
"We're just regressing to the mean. We've had an unbelievably strong market," McNamee said in a CNBC "Squawk Alley" interview. "We have been due for some kind of correction for a long time."
Tech giants LinkedIn and Yelp have seen their shares drop about 9 percent and 35 percent this year, respectively. The tech sector was also the biggest decliner among 10 S&P 500 sectors, dropping nearly 1.4 percent in afternoon trade.
McNamee added the tech sector, like the broader financial markets, has also been weighed down by external issues, especially what's been going on in China.
"There, the retail stock market has just gotten crushed. We've seen a 39 percent decline in the Shenzen, primarily in stocks owned domestically because people have borrowed too much money to buy in the stock market," he said.
Nevertheless, he also added that the tech sector's fundamentals remain "reasonable. Not great, but pretty reasonable across the board."