Oracle Cancels $1 Billion Super Micro Order
Oracle has canceled a significant order exceeding $1 billion for 300 to 400 Super Micro GB300 NVL72 server racks, reportedly as a response to allegations involving Super Micro’s co-founder, Yih-Shyan “Wally” Liaw, regarding illegal shipments of AI servers to China. The market reaction has been swift, with Oracle’s stock dropping 6% as of 10:05 AM ET following the announcement.
Bluefin Research estimates that canceling the order could lead to a loss of $1.05 billion to $1.4 billion in sales for Super Micro, although the company managed to ship 100 to 200 racks before the order was rescinded. This cancellation could reflect Oracle’s strategy to reduce exposure in the AI market amid concerns over rising costs and inadequate revenue growth.
