Dell Technologies and Super Micro Computer gained 0.4% and 0.8%, respectively, in early premarket trading on Monday after SpaceX CEO Elon Musk denied a report that the rocket company had placed a $52 billion order with Foxconn for Nvidia-powered AI servers. Musk called the report 'fake news' in response to a now-deleted post on X summarizing the speculated agreement. Dell and Super Micro have traditionally supplied AI servers to SpaceX, and the rumored Foxconn deal would have threatened their supplier relationship with the rocket company.
Musk Denies SpaceX-Foxconn $52B AI Server Deal on X
Musk said on X that the reported deal was 'fake news.' The original report from Taiwan's Economic Daily claimed that SpaceX was planning to secure more than 13,000 AI server racks powered by Nvidia's GB300 chips for $4 million per rack. Citrini analyst Jukan wrote before Musk's denial that Foxconn had displaced Dell and Super Micro and claimed that deliveries would begin in late 2026 and continue into the first quarter of 2027. The rumored agreement would have given Foxconn a major push in its potential effort to secure major cloud and AI infrastructure customers in North America.
Dell and Super Micro Stocks Decline in July Amid AI Sector Rotation
Dell and Super Micro have seen a sharp pullback in recent weeks as investors rotated out of AI highfliers, particularly semiconductor names, and into Big Tech and software stocks. Dell is down 8% in July, while Super Micro slipped 18%. Both companies remain key beneficiaries of the AI infrastructure boom, with strong demand for AI servers as enterprises and cloud providers ramp up spending on data centers. Dell has continued to expand its AI infrastructure offerings and partnerships while leveraging its broad enterprise customer base. Super Micro has focused on scaling its AI server portfolio and manufacturing capacity, though the company has also faced increased scrutiny over governance and legal issues in recent months.
Stocktwits Sentiment Shows Mixed Retail Trader Views on Monday
On Stocktwits, retail sentiment was 'neutral' on Dell and 'bearish' on Super Micro on Monday. Traders continued to post as though the SpaceX-Foxconn reports were true, a development that would be negative for both companies. One trader wrote that Dell is one of the names being watched closely in the AI infrastructure trade and has been holding up better than many names in the group, showing buyers are still defending the trend. Another trader wrote that bears on Super Micro were expected to have panic attacks, as they expected the stock down 5% premarket.
FAQ
What did Elon Musk say about the SpaceX-Foxconn AI server deal?
Elon Musk called the report 'fake news' on X in response to a now-deleted post summarizing the speculated $52 billion agreement between SpaceX and Foxconn for Nvidia-powered AI servers.
How did Dell and Super Micro stocks perform in July?
Dell is down 8% in July, while Super Micro slipped 18%, as investors rotated out of AI highfliers and into Big Tech and software stocks.
What was the retail sentiment on Dell and Super Micro on Stocktwits on Monday?
Retail sentiment on Stocktwits was 'neutral' on Dell and 'bearish' on Super Micro on Monday, even as some traders continued to discuss the SpaceX-Foxconn reports as though they were true.
