Executives at a Silicon Valley computer and server maker sent a message late Tuesday when they said the company needs more artificial-intelligence chips from Nvidia Corp.
Shares of both Nvidia NVDA, -4.72% and Super Micro Computer Inc. SMCI, -23.39% — two companies that have surged on the AI boom — dropped Wednesday, with Supermicro tumbling nearly 24%, while Nvidia lost nearly 5%. Their shares had surged about 323% and 206%, respectively, through Tuesday’s close, and have racked up sizable gains on the year.
That comes after the company reported June-quarter revenue growth of 34%, amounting to $2.18 billion.Supermicro Chief Executive Charles Liang told analysts on the company’s call that the company is seeing supply constraints for the graphics chips coming from Nvidia that are designed for AI applications.
Chief Financial Officer David Weigand also noted that Supermicro saw 52% of its revenue in servers coming from server racks designed specifically for AI-based applications, which was a jump from about 30% in the previous quarter.
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