Super Micro Computer shares fell following a government raid in Taiwan linked to allegations of Nvidia chip smuggling into China.
Super Micro Computer (SMCI) shares declined 6% after Taiwanese authorities raided its local offices as part of an investigation into allegations the company smuggled Nvidia (NVDA) GPUs into China inside its servers. The probe focuses on potential violations of export controls and trade regulations.
The raid follows reports of heightened scrutiny on technology shipments to China amid U.S. restrictions. Supermicro has not publicly commented on the allegations, while Nvidia has previously emphasized compliance with export laws. The investigation remains ongoing.
Shares of SMCI extended losses in early trading, reflecting investor concerns over potential regulatory and supply chain disruptions.