On July 7, Super Micro Computer fell 5.19% in regular trading, trading at $25.715/share, with turnover of $369 million. The decline comes as Taiwan authorities' investigation into alleged smuggling of Nvidia AI chips to China through Super Micro servers continues to pressure market sentiment.
Taiwanese prosecutors previously expanded the probe, searching three companies and the homes of six individuals. Two Super Micro employees in Taiwan were detained pending a hearing, while two others were released on bail. All four have been placed on administrative leave. The company issued a statement denying that its Taiwan offices were raided and clarifying it coordinated with authorities to provide access to employee workspaces and devices. Super Micro emphasized that relevant authorities confirmed it is not a target of the investigation and that operations remain unaffected.
Adding to the pressure, the Technology Hardware, Storage and Peripherals sector experienced broad-based selling. SanDisk fell 11.4%, Western Digital declined 9.79%, Seagate Technology dropped 7.2%, and Dell Technologies lost 1.04%, amplifying downward momentum across the group.
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