Super Micro Computer Faces Major Setback
Super Micro Computer (NASDAQ: SMCI) shares fell 7.6% by 10:30 a.m. today after reports emerged of a canceled order from Oracle (NYSE: ORCL) for 300 to 400 GB300 NVL72 server racks featuring Nvidia (NASDAQ: NVDA) chips, as noted by Bluefin Research. This cancellation may be linked to concerns over illicit chip sales to China by Super Micro’s co-founder Yih-Shyan “Wally” Liaw.
Additionally, Super Micro is reportedly losing sales to xAI, which is backed by SpaceX, as the company shifts to Dell and Hewlett Packard Enterprise for its server needs. These challenges could leave Super Micro with obsolete inventory, further exacerbating its financial woes.
