Elon Musk's xAI Transfers $6 Billion AI Server Orders to Dell from Super Micro

Nov 18, 2024, 02:22 PM

Elon Musk's startup, xAI, has reportedly transferred $6 billion in AI server orders from Super Micro Computer (SMCI) to Dell Technologies (DELL). This move is expected to benefit Dell's Taiwan partners, Wistron and Inventec. The transfer is part of a broader trend where Dell is expanding its AI capabilities. Dell recently unveiled new AI-powered infrastructure and advanced AI Factory solutions at the SC24 conference, enhancing its AI infrastructure and deployment. Additionally, Dell introduced the world's first NVIDIA GB200 NVL72 racks through its PowerEdge XE9712 servers, further solidifying its position in the AI server market. Wells and BOFA have commented on the speculation surrounding this transfer, and Super Micro is reportedly facing a crisis due to the loss of these orders.