Super Micro stock slips after Taiwan probe questions

Super Micro Computer said four employees at its Taiwan unit were questioned by prosecutors on June 29 in connection with an investigation into sales to a Taiwanese technology company. Two employees were detained pending a hearing, two were released on bail, and all four have been placed on administrative leave while investigators reviewed desks and electronic devices.

In an open letter to customers and partners, Chief Revenue Officer Matthew Thauberger wrote that Super Micro is not a target of the Taiwanese probe and has cooperated with authorities for several months. “We do not have full visibility of the investigation as it is ongoing. Most importantly, I want to assure you this has absolutely no impact on our ability to serve and support you,” Thauberger wrote. He added that the company remains committed to export compliance and to protecting U.S. interests and its technologies.

Shares initially rose about 5% on Thursday to an intraday high of $29.22 after the company’s statement, but those gains largely reversed and the stock traded slightly lower at the time of reporting. The stock fell 6% on Wednesday and declined about 22% over the previous seven trading sessions, with losses in six of those seven days.

The inquiry focuses on Super Micro servers equipped with Nvidia chips, which are subject to U.S. export controls that restrict shipments to China. Taiwanese prosecutors began the first phase of the probe in May, detaining three people suspected of illegally exporting high‑end servers; those three remain in custody. Authorities also seized roughly 50 servers during earlier actions.

Separately, in March U.S. authorities charged Super Micro co‑founder Yih‑Shyan “Wally” Liaw and two other individuals over an alleged scheme to divert U.S.‑assembled servers to China in violation of export‑control laws. Liaw subsequently resigned from the company.

Super Micro has stated it is cooperating with investigators and that normal business operations continue. The company acknowledged the legal developments have affected investor sentiment and said it is taking steps to work with authorities while supporting customers and partners.