Silicom discloses cancellation of largest-ever design win amid share selloff
With its shares down 24% on the day, Silicom disclosed in a regulatory filing that the "top-10 Cloud player" that awarded the company its largest-ever design win has decided to abort the new cloud infrastructure architecture for which it had ordered the Silicom 100-Gigabit-Switch-Fabric-On-A-NIC product. "The customer indicated that the cancellation was unrelated to Silicom's product, development or support, which was flawless; rather, its decision to abort the configuration was based on issues and challenges faced at a much higher level of the new Cloud architecture," Silicom said in the filing. The shares took another leg at the end of the trading day following the news. Silicom closed down 31%, or $17.90, to $40.66.