Nvidia Shares Shed 2.5% After Report Of Blackwell Chip Snag

Dow Jones11-18

By Ben Glickman

Shares of Nvidia fell early Monday after a report of multiple redesigns for the server racks to house its new Blackwell chips.

The stock was down 2.5% to $138.44 in pre-market trading. Shares have nearly tripled so far this year.

Nvidia has run into problems with its Blackwell graphics processing units overheating when they are connected in custom server racks, the Information reported on Sunday. The company has asked suppliers to tweak the design of its servers for Blackwell several times in recent months.

Delivery of the Nvidia's newest chips has already been delayed by at least one quarter due to design flaws.

The Information reported that Nvidia hasn't notified customers of a delay to delivering Blackwell chips, but that the overheating problem has raised concerns among buyers.

Write to Ben Glickman at ben.glickman@wsj.com

(END) Dow Jones Newswires

November 18, 2024 07:42 ET (12:42 GMT)

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