Super Micro Computer (SMCI) said Thursday it is collaborating with Taiwanese authorities to prevent illicit diversion of its servers into the restricted Chinese market.

The company said its collaboration with the authorities led to the arrest of three suspects and the seizure of 50 servers that had been deceptively bought after they were sold by Supermicro to an authorized reseller.

The case "highlights the challenges that can arise when products are resold through multiple downstream parties beyond direct manufacturer control," the company said.

Price: 37.98, Change: -0.21, Percent Change: -0.55