California tech exec arrested in US$300M Nvidia AI server smuggling case

Nvidia CEO Jensen Huang proposed a $2,000 annual GPU software fee for AI agents, aiming to expand its software business. The fee's scope and timing remain unclear. Nvidia's existing AI Enterprise software costs $4,500 per GPU annually. The company also launched OpenShell Reference Architecture for secure AI agent management.

Meta reported a 26% revenue increase to $64.6B, but negative free cash flow of -$2.1B. The company raised its 2026 capital spending forecast to $135B-$145B and announced new non-voting shares. Executives from Broadcom, BlackRock, and Nvidia expressed concerns about capital scarcity for AI development. AI-linked stocks like Nvidia, CoreWeave, and Lam Research fell, while broader market indices showed mixed performance. Treasury yields also declined.

Samsung Electro-Mechanics, a Samsung Group subsidiary, received investments from Nvidia (2.6 trillion won) and Tesla (1.1 trillion won) for AI semiconductor production. The company produces MLCC and FC-BGA, crucial for AI data centers and semiconductors. Nvidia and Tesla aim to secure stable substrate supplies for their AI and automotive technologies.

Tesla (TSLA) and Nvidia (NVDA) plan to invest $2.8 billion in Samsung Electro-Mechanics to expand production of advanced substrates for AI processors. Nvidia will contribute $2.0 billion, while Tesla will invest $829.9 million for a five-year supply of substrates. Samsung expects Nvidia to become a major customer by 2028, with both companies aiming to secure supply chains for AI and autonomous-driving technologies.

Nvidia has up to $108.5 billion in gross guarantees for AI infrastructure, including $105 billion for SB Energy leases and $3.5 billion for partners' obligations. It also has a $36 billion commitment to buy AI-cloud services. CoreWeave's borrowing costs surged, highlighting risks for Nvidia's AI investments. Nvidia also has a $6.3 billion contract with CoreWeave. Analysts warn of potential issues if compute demand falls short.

AWS reported that customers have booked most of its 2027 capacity, with $220B planned for 2026 capital spending. NVIDIA and TCV invested in Higgsfield's Series B extension, with Higgsfield reporting a $1B annualized revenue run rate. Western Digital reported $4.381B in Q1 revenue, up 55% YoY, with a 57.8% gross margin.