Supermicro (SMCI) Expands Workforce in Saudi Arabia Following $20 Billion Contract

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Supermicro Expands Its Presence in Saudi Arabia

Supermicro (SMCI), a key contender in the GPU-as-a-Service industry and a leader in liquid-cooled AI systems, has been actively recruiting in Saudi Arabia. This surge in hiring comes just ahead of a significant partnership announcement that could reshape the landscape of AI in the region.

Partnership with DataVolt: A Game-Changer

Today, Supermicro finalized a landmark multi-year partnership agreement with DataVolt, one of Saudi Arabia’s leading data center providers. While specific details of the contract remain confidential, industry estimates suggest the partnership could be valued at approximately $20 billion.

Financial Implications of the Agreement

Reports from Goldman Sachs indicate that this partnership could generate as much as $5 billion in annual revenue for Supermicro, along with an expected EBIT of around $200 million. This projection is based on a presumed five-year contract period and an estimated profit margin of 5%.

Hiring Trends and Job Opportunities

In light of this exciting development, Supermicro’s recruitment efforts appear to be extensive. A recent Google search reveals that Supermicro has been actively looking for candidates over the past month, with a diverse array of roles available, including positions such as Senior Service Engineer and Senior Sales Manager.

Technological Advances: Introducing DLC-2

Supermicro also unveiled its latest innovation, the DLC-2 direct liquid-cooling technology, designed to enhance data center efficiency significantly. This cutting-edge technology aims to achieve up to 40% savings in water and energy consumption, further reducing the Total Cost of Ownership (TCO) by as much as 20%.

Enhanced Cooling Efficiency

Supermicro’s DLC-2 operates by increasing cold plate coverage across server components, enabling the use of fewer fans running at lower speeds. Moreover, it is capable of capturing 98% of the heat generated per server rack, allowing for higher inlet liquid temperatures of up to 45 degrees Celsius. As highlighted by the company:

“The higher inlet temperature eliminates the need for chilled water, chiller compressor equipment cost, and additional power usage, saving up to 40% of data center water consumption.”

This innovative approach is particularly beneficial for data centers located in the arid climate of Saudi Arabia, where high temperatures and limited water resources present unique challenges.

As Supermicro continues to expand its operations and technological capabilities in the region, the implications for Saudi Arabia’s AI landscape could be profound.

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