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Investing.com -- Super Micro Computer, Inc. (NASDAQ:SMCI) stock rose 4% Wednesday after the company announced the creation of a new subsidiary focused on expanding its presence in the U.S. federal market.
The AI server maker established Super Micro Federal LLC to accelerate delivery of its high-performance computing solutions to government agencies. The new entity will emphasize systems that are developed, constructed, and manufactured in the USA to meet federal requirements.
"Supermicro is committed to supporting the U.S. federal government in powering its next generation of technical initiatives," said Charles Liang, president and CEO of Supermicro. "Through this initiative, Supermicro will supply U.S. federal government agencies with full data center IT solutions that are manufactured and tested from our manufacturing facilities in Silicon Valley, California."
The company highlighted that the new federal subsidiary will leverage Supermicro’s Data Center Building Block Solutions to enable rapid customization and deployment of AI-ready systems for government agencies.
Headquartered in San Jose, California, Supermicro has recently expanded its Silicon Valley operations and is exploring additional U.S. manufacturing facilities to meet growing demand. The organizational expansion strengthens the company’s commitment to American innovation, domestic manufacturing, and supply chain security.
The move comes as U.S. government agencies increasingly seek domestically produced technology solutions, particularly for critical infrastructure and artificial intelligence applications.
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