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Supermicro Shares Plunge 33% as Auditor Quits, Citing Previous Warnings

Supermicro shares took a big hit today when Ernst & Young quit as its auditor, making its stock fall over 30%. EY decided to leave because of their worries in July about how Supermicro runs things, shares information, and keeps track of its money. In August, Supermicro delayed its annual report as they were looking over internal financial controls following Hindenburg Research's allegations of accounting manipulation. Ernst & Young's letter to the Securities and Exchange Commission (SEC) about quitting says they can't trust what the company's leaders say anymore. They also don't want their name on the company's financial papers after discovering new information during their check. "We are resigning due to information that has recently come to our attention which has led us to no longer be able to rely on management's and the Audit Committee's representations and to be unwilling to be associated with the financial statements prepared by management."

Supermicro doesn't agree with the accounting firm's decision, and they say fixing these problems won't mean they have to redo any of their financial reports from 2024 or earlier. Commenting on this subject, Nathan Anderson, the founder of Hindenburg, said in a post on X, "As far as auditor statements go, E&Y's SMCI resignation letter is about as strongly worded as I have seen." According to The Wall Street Journal, the Department of Justice is currently looking into the company. Supermicro will present its first quarter fiscal 2025 business update on Tuesday, November 5, 2024, at 5:00 p.m. ET / 2:00 p.m. PT.

Turtle Beach Introduces Stealth Pivot Controller for PC and Xbox

Leading gaming accessories maker Turtle Beach Corporation today unveiled another groundbreaking, first-of-its-kind controller, the Turtle Beach Stealth Pivot. This new, premium smart controller works both wirelessly and in wired mode for Windows 10/11 PCs, and is Designed for Xbox and compatible with Xbox Series X|S and Xbox One as an advanced wired controller. The Stealth Pivot also features Bluetooth 5.2 to connect with compatible Android devices and smart TVs.

The Stealth Pivot's standout feature is the unique, rotating thumbstick and button control modules that deliver simple, precise, and enhanced gameplay for any game type. One layout provides traditional PC & Xbox gamepad controls, and the modules can be easily rotated and locked back into place to produce a stick and button layout more suitable for fighting games. The Stealth Pivot is crafted from premium materials, including built-in Hall Effect sensors in the rotating control modules, and gamers can also explore an impressive and extensive list of customization options. The Turtle Beach Stealth Pivot controller launches November 26, 2024, and is available for pre-order at www.turtlebeach.com and participating retailers worldwide for $129.99/£119.99/€129.99 MSRP.

Roblox To Roll Out New Child Safety Rules After Scathing 'Pedophile Hellscape' Report

We previously covered a damning report that levelled some pretty severe allegations at Roblox concerning a mix of child safety and false platform metrics. While nothing seems to have been done about the latter, Roblox looks to be addressing the former, and far more serious, of the allegations. According to a Bloomberg report, Roblox will add child safety measures in November that will give parents more control over what their children can see and interact with in Roblox's various games and communities.

According to Bloomberg, Roblox sent parents of the platform's minor audience an email detailing the new changes coming in November. Seemingly in response to the recent criticism, Roblox is putting more control in the hands of parents. Specifically, children under 13 will need parental approval in order to access certain chat features, although the company declined to clarify on exactly what it means by this. Additionally, children under nine years of age will require parental approval in order to play games known to contain moderate violence or crude humor. For more involved parents, Roblox is also introducing a new account type that will allow parents to supervise their online activities. These new safety measures come after Roblox effectively dismissed the October 9 Hindenburg report's accusations that it wasn't doing enough to protect its minor audience.

Logitech Launches MX Creative Console, Redefining Digital Creation and Unleashing Your Creative Potential

Logitech announced the launch of MX Creative Console, a new product category that allows digital creators to focus on their artistry. With instant access to essential controls and ultimate customization, the MX Creative Console streamlines workflows and automates repetitive tasks.

"Digital creativity is undergoing a massive transformation, constantly evolving the way people create. The MX Creative Console is designed to help people redefine their workflow, enabling them to work smarter and faster," said Anatoliy Polyanker, general manager of the MX Business Unit at Logitech. "With the latest additions to the Logitech MX Ecosystem, the MX Creative Console and recently-announced MX Ink, we are tapping into the key trends of democratizing digital creation, 3D design and spatial computing, and AI-enabled workflows."

Dutch Semiconductor Export Controls Spark Tension with China, Could Reflect Badly on Cooperation

The Netherlands government announced additional export controls on advanced chipmaking equipment on Friday. This decision, which specifically targets ASML's DUV immersion lithography tools, has drawn sharp criticism from Beijing. The new regulations, aligning with similar restrictions imposed by the US last year, will require additional licensing for the export of ASML's 1970i and 1980i models. China's Commerce Ministry swiftly responded to the announcement, expressing dissatisfaction with what it perceives as unwarranted restrictions on trade. In a statement released Sunday, the ministry accused the United States of leveraging its global influence to pressure allies into tightening export controls, describing it as an attempt to maintain "global hegemony" in the semiconductor industry.

The Chinese government urged the Netherlands to reconsider its position, calling for a balance between security concerns and the preservation of mutually beneficial economic ties. Beijing emphasized the importance of safeguarding the "common interests" of businesses in both countries and warned against potential damage to Sino-Dutch cooperation in the semiconductor sector. Dutch Trade Minister Reinette Klever defended the decision, stating it was made "for our safety." However, this move could have significant implications for ASML, which has already faced restrictions on exporting its most advanced systems to China. ASML receives as much as 49% of its revenue from China, meaning that additional export regulations could significantly reduce revenues if licenses aren't approved.

US Government Considers Tighter Restriction on China's Access to GAA Transistors and HBM Memory

According to sources familiar with the matter and reported by Bloomberg, the Biden administration is considering imposing further export controls to limit China's ability to acquire advanced semiconductor technologies crucial for developing AI systems. Gate-all-around (GAA) transistor technology and high-bandwidth memory (HBM) chips are at the center of the proposed restrictions. These cutting-edge components play a pivotal role in creating powerful AI accelerators. GAA transistors, a key feature in next-generation chips, promise substantial improvements in power efficiency and processing speeds. Meanwhile, HBM chips enable high-speed data transfer between a processor and memory. While existing sanctions prevent American firms from supplying Chinese companies with equipment for manufacturing leading-edge chips, concerns persist that China could still attain advanced capabilities through other means.

For instance, China's leading chipmaker, SMIC, could potentially integrate GAA transistors into its existing 7 nm process node, markedly enhancing performance. Access to HBM would further augment China's ability to develop AI accelerators on par with cutting-edge offerings from US firms. The reflections within the Biden administration show a strategic effort to preserve America's technological edge by denying China access to key semiconductor innovations. However, implementing such stringent export controls is a delicate balancing act, as it risks heightening tensions and prompting Chinese retaliation. No final decision has been made, and officials continue weighing the proposed restrictions' pros and cons. Nonetheless, the discussions highlight the pivotal role that semiconductor technology plays in the great power rivalry between the US and China, especially in the AI era.

U.S. Updates Advanced Semiconductor Ban, Actual Impact on the Industry Will Be Insignificant

On March 29th, the United States announced another round of updates to its export controls, targeting advanced computing, supercomputers, semiconductor end-uses, and semiconductor manufacturing products. These new regulations, which took effect on April 4th, are designed to prevent certain countries and businesses from circumventing U.S. restrictions to access sensitive chip technologies and equipment. Despite these tighter controls, TrendForce believes the practical impact on the industry will be minimal.

The latest updates aim to refine the language and parameters of previous regulations, tightening the criteria for exports to Macau and D:5 countries (China, North Korea, Russia, Iran, etc.). They require a detailed examination of all technology products' Total Processing Performance (TPP) and Performance Density (PD). If a product exceeds certain computing power thresholds, it must undergo a case-by-case review. Nevertheless, a new provision, Advanced Computing Authorized (ACA), allows for specific exports and re-exports among selected countries, including the transshipment of particular products between Macau and D:5 countries.

China Bans AMD and Intel CPUs from Government Systems

According to a report by the Financial Times, China has banned the use of Intel and AMD chips in government computers. The decision, which aims to reduce reliance on foreign technology and boost domestic semiconductor production, is expected to have far-reaching implications for the global tech industry and geopolitical relations. The Chinese government has instructed PC suppliers to replace foreign-made CPUs with domestic alternatives in all government computers within the next two years. This directive is part of China's broader strategy to achieve self-sufficiency in critical technologies and reduce its vulnerability to potential supply chain disruptions or geopolitical tensions. The ban on Intel and AMD chips is likely to significantly impact the two companies, as China represents a substantial market for their products.

However, the move also presents an opportunity for Chinese semiconductor manufacturers like Loongson and Sunway to expand their market share and accelerate the development of their next-generation chip technologies. By reducing its dependence on foreign technology, China aims to strengthen its position in the global tech landscape and mitigate the risks associated with potential sanctions or export controls. As China pushes for self-sufficiency in semiconductors, the global technology industry will likely experience a shift in supply chains and increased competition from Chinese manufacturers. This development may also prompt other countries to reevaluate their reliance on foreign technology and invest in domestic production capabilities, potentially leading to a more fragmented and competitive global tech market.

Ubisoft at GDC: How "Assassin's Creed Mirage" Grew from DLC to Full Game

Assassin's Creed Mirage was envisioned as an homage to its franchise—a celebration of how it began and what it accomplished between 2007's Assassin's Creed and 2023's Mirage. Beginning as an idea for a DLC expansion that would take Eivor to the Middle East, it grew into a standalone prequel starring Basim, the enigmatic Hidden One from Valhalla. Developed as a shorter experience by Ubisoft Bordeaux, the return-to-roots game presented a distinctive set of challenges, which are explored in the March 22 GDC talk "Between Legacy and Modernity: Creating an Homage Game to the 15-Year-Old Assassin's Creed Franchise."

During the talk, Creative Director Stéphane Boudon and Lead Producer Fabian Salomon discuss the game's beginnings, its growth into a "remoot"—that is, something between a remake and a reboot - and how a streamlined approach helped them make tough choices and focus the game on the Assassin experience. To find out more, we spoke with Boudon and Salomon about some of the early concepts behind the game, a few features that didn't make the cut, and how Mirage re-introduced and redefined stealth as a gameplay pillar.

China's Chip Imports See Record 15.4% Plunge in 2023

According to new data from Chinese Customs, China's imports of integrated circuits suffered their steepest annual drop on record in 2023, falling 15.4% to $349.4 billion. The decline marks the second straight year of falling chip imports and can be attributed to economic uncertainty and US export controls on advanced semiconductors. Shipment volumes of imported chips also saw a substantial 10.8% year-over-year decrease as demand within China stagnated. The country's important tech manufacturing sector has struggled under strict zero-Covid policies and a lackluster recovery post-pandemic. Flagship manufacturing companies like TSMC recorded modest declines in 2023 sales, though TSMC still forecasts overall growth this year.

Sentiment plunged further when the Biden administration heightened restrictions on China's access to cutting-edge AI-capable chips from NVIDIA and other top American suppliers. The escalating US export controls have choked off China's pipeline to advanced semiconductors needed for AI and supercomputing applications. However, early positive signs for global semiconductor demand have emerged, with worldwide chip sales rising for the first time in over a year this past November. The increase was driven by growing demand for AI and other emerging technologies that rely on advanced computing chips. While the US seeks to limit China's progress in this key strategic area, an inflection point for the battered global chip sector may be nearing.

NVIDIA Might be Forced to Cancel US$5 Billion Worth of Orders from China

The U.S. Commerce Department seems to have thrown a big spanner into the NVIDIA machinery, by informing the company that some US$5 billion worth of AI chip orders for China falls under the latest US export restrictions. The orders are said to have been heading for Alibaba, ByteDance and Baidu, as well as possibly other major tech companies in China. This made NVIDIA's shares drop sharply when the market opened in the US earlier today, by close to five percent, dropping NVIDIA's market cap below the US$1 Trillion mark. The share price recovered somewhat in the afternoon, putting NVIDIA back in the trillion dollar club.

Based on a statement to Reuters, NVIDIA doesn't seem overly concerned, despite what appears to be huge loss in sales, with a company spokesperson issuing the following statement "These new export controls will not have a meaningful impact in the near term". The US government will implement these new export restrictions from November, which obviously didn't give NVIDIA much of a chance to avoid them and it looks as if the company is going to have to find new customers for the AI chips. Considering the current demand for NVIDIA's chips, this might not be too much of a challenge for the company though.

Logitech G Announces New Streamlabs Plugin for Loupedeck Users

Logitech G, a brand of Logitech (SIX: LOGN) (NASDAQ: LOGI) and leading innovator of gaming technologies and gear, announced the new Streamlabs Desktop Plugin for the Loupedeck. The new plugin provides Streamlabs creators with simple and powerful controls over their live streams, and direct access to the Streamlabs Desktop software using Loupedeck devices. Loupedeck builds consoles designed to improve the experience of major software programs such as Streamlabs across photo, video and audio editing, design, and livestreaming.

"When we acquired Loupedeck earlier this year we had a goal of providing a more seamless experience for Streamlabs creators from onboarding to everyday use with presets available out of the box for Loupedeck devices," said Ujesh Desai, general manager of Logitech G. "This release is our first offering, which accelerates our goal to bring an ecosystem of hardware and software to creators everywhere, enabling them to focus on doing what they do best, which is make amazing content."

Thrustmaster Unveils Ferrari 488 GT3 Wheel Add-On

Thrustmaster is thrilled to unveil its new racing wheel rim specially designed for competition, in partnership with Ferrari: Ferrari 488 GT3 Wheel Add-On. This new wheel rim is a 1:1 scale replica of the wheel from the most successful car in the Prancing Horse brand's legendary history, with more than 500 victories in competitions: the Ferrari 488 GT3.

A real gem of racing performance technology, this replica wheel rim has been designed with weight and structure optimized for competition - thanks to its central faceplate with carbon fiber cladding, and the wheel rim's 12.2-inch/31-cm overall diameter. Feel every aspect of the circuit right at your fingertips, and really get the most out of your wheel base's power - while enjoying a high level of racing details and precision, allowing you to master every turn.

Cities: Skylines II Cinematic Camera & Photo Mode Explored

Hey everyone! We're back with another installment of our development diary series. In this one, we will go over a feature that will help you capture the most memorable moments from your city! The Cinematic and Free Camera modes are completely different from what you are familiar with in Cities: Skylines. The difference between them is truly day and night. In Cities: Skylines II, both modes can be accessed by clicking the Photo Mode button located in the bottom-right corner of the main UI.

From here, you can dive into the world of photo- and cinematography and capture your city in all of its glory, chaos, or spaghetti road madness with your friends or other players alike! The power of these tools is really conveyed by the fact the in-game trailer was filmed using the built-in Cinematic Camera feature, and today's diary is here to help you navigate the options so you too can capture amazing footage of your city!

Thrustmaster Introduces its SimTask Steering Kit - Designed for Heavy Vehicle Sims

During the Gamescom fair, Thrustmaster was pleased to unveil its unique new racing wheel mounting system, including a rotary spinner knob - a perfect complement for all heavy vehicle driving simulators. The SimTask Steering Kit allows gamers to set up their racing wheel in a flat-mounted position, delivering an immersive experience when driving farm machinery or heavy vehicles. The mount allows users to customize the steering wheel's angle and height, offering a number of diverse driving configurations similar to real life.

In addition, the rotary spinner knob provides a major agility boost, enabling gamers to operate the steering wheel with one hand. The SimTask Steering Kit is compatible with Thrustmaster T128 and T248 racing wheels. SimTask is Thrustmaster's new range of products, specially designed to deliver an enhanced experience of driving simulation with heavy vehicles and farm machinery.

Diablo IV Developer Outlines Accessibility Features

On June 6, a new plane of Hell will open, giving way to endless hours of demon-slaying fun in Diablo IV. The team saw this as an opportunity to improve the accessibility offerings within the game, and they took careful steps to ensure that every new feature added would break down barriers that kept players from playing—a flame that guided them all through development.

OUR GUIDING FLAME
"The only limitation to adventuring in Sanctuary should be interest, not capability," said lead accessibility designer Drew McCrory when the team began ideating on the game's potential accessibility features. Starting with the bedrock laid forth in Diablo II: Resurrected, the team began to construct accessibility features that struck a balance between being useful for players with disabilities while being careful not to mar gameplay for others. From there, the team continued to smooth out the rough edges of the features in their incubation tank until they provided additional usability without altering the core gameplay loop. What they were left with were accessibility options that empower as many players as possible.
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