Oracle Cancels $1.4B Nvidia Rack Orders from Super Micro
Oracle canceled orders for 300-400 Nvidia GB300 NVL72 racks from Super Micro, valued at $1.1-$1.4 billion, after the company shipped 100-200 units. The cancellation shifted rack orders to Wiwynn and left considerable B200 GPU inventory at Super Micro unsold following xAI’s mid-2025 pivot to GB200 NVL72 shipments.
1. Oracle Cancels Super Micro Rack Orders
Oracle notified Super Micro of a cancellation involving 300-400 GB300 NVL72 AI compute racks, each valued at approximately $3.5 million, resulting in a total contract loss of $1.1 to $1.4 billion. Super Micro had already shipped between 100 and 200 racks before the termination, and the rack business was subsequently awarded to Wiwynn.
2. Excess GPU Inventory at Super Micro
Super Micro built up large quantities of B200 GPU modules intended for xAI HGX AI Server deployments, but those orders shifted to GB200 NVL72 racks in mid-2025. As rack shipments accelerated, this left the company with considerable unsold B200 inventory, raising concerns about obsolescence and write-down risk.
3. Implications for Nvidia Rack Deployments
The cancellation underscores potential volatility in large-scale AI rack procurements built around Nvidia GPUs and highlights supplier concentration risks. Shifts between GB200 and GB300 rack platforms may temporarily affect Nvidia GPU shipment volumes and channel inventory levels.