“In South Korea, Supermicro's data center market share is only 5%, but we will expand the distribution of Direct Liquid Cooling (DLC) solutions to raise it to at least 25%.”
Charles Liang, Chief Executive Officer (CEO) of Supermicro, met with ChosunBiz on the 21st (local time) in Taipei, Taiwan. Liang, who visited Taiwan for the Computex 2025, Asia's largest IT and computing exhibition, expressed his ambition to increase market share in South Korea, noting that Supermicro has proven its competitiveness in the global market with a fourfold increase in sales over three years.
Headquartered in Silicon Valley, United States, Supermicro is a leading company in liquid cooling systems, differentiated from traditional air-cooling systems that use air to cool heat in data centers. The liquid cooling system is a next-generation data center solution that compensates for the drawbacks of the existing air-cooling systems, which suffer from lower energy efficiency and higher fan noise. Supermicro's sales last year reached $14.99 billion (approximately 21.5 trillion won), more than doubling compared to the previous year.
Liang CEO noted, “We have already secured over 20% market share in the United States, and this year, we aim to ship more than twice the number of server racks compared to last year,” adding, “Having already proven our low expense, excellent quality, and reliability to many customers, I am confident that Supermicro's competitiveness will succeed in the South Korean market.” He also mentioned, “We are steadily securing personnel to address the South Korean market.”
Liang CEO announced that they will accelerate their approach to the South Korean market based on the recently launched Direct Liquid Cooling (DLC-2) solution and the "Data Center Building Block Solution (DC BBS)." The "DLC-2" system, which departs from the traditional method of cooling central processing units (CPUs) and graphics processing units (GPUs) with water, lowers the temperatures across the entire system, including surrounding memory and controllers, reducing power consumption by up to 40%. This solution also offers the advantage of reducing noise to around 50 decibels (dB), creating a data center as quiet as a library. DC BBS allows servers to be divided into block shapes, enabling customers to create servers in their desired forms.
Liang CEO stated, “With the newly launched solution, we are now able to offer customers superior servers,” adding, “Typically, it takes 18 months to 2 years to build a data center, but our solution allows it to be established within 6 months, saving time.”
He further mentioned, “Previously, 1,000 tons (t) of cooling capacity was needed for air conditioning, but with Supermicro's technology, only 100 tons can be utilized, saving 90% of related air conditioning expenses.”
Liang CEO dismissed the ‘accounting fraud’ issue raised last year as fake news. The activist short-selling investment firm Hindenburg Research claimed that during a three-month investigation into Supermicro, it found “clear accounting risk signals and evidence of undisclosed related party transactions, compliance failures with sanctions and export controls, and customer issues,” and disclosed its short position on Supermicro.
In response, Supermicro appointed BDO USA, an American accounting and consulting firm, as an independent auditor and took a series of measures, including submitting a plan for compliance with NASDAQ regulations, stating, “We have not found evidence that the management or the board engaged in fraud or illegal activities related to accounting issues.”
Liang CEO said, “It was fake news propagated by Hindenburg Research,” adding, “Unfortunately, there was some delay and impact from that news, but our business is very sound, and operations are stable. We are currently recovering quickly.”