SAN JOSE, Calif. - Axiado Corporation, an AI-driven security solutions provider, in partnership with global manufacturer Jabil Inc. (NYSE: JBL), today announced the development of new server solutions aimed at enhancing security for cloud and data center environments. The collaboration, revealed at the 2024 OCP Global Summit, focuses on creating secure, scalable, and customizable server platforms that conform to Open Compute Project (OCP) standards, featuring advanced AI-driven cybersecurity.
The joint effort offers data centers and cloud service providers a choice between AMD (NASDAQ:AMD) 5th Generation EPYC Zen5 and Intel (NASDAQ:INTC) Xeon 6 processors, catering to various performance and security needs. These platforms are designed to tackle demanding applications such as AI, high-performance computing (HPC), FinTech, and large-scale cloud infrastructures.
Axiado's Trusted Control/Compute Units (TCUs) are a key component of these servers, providing real-time threat detection and enhanced control over platform security. The servers also support Data Center Modular Hardware Systems (DC-MHS) and Data Center-ready Secure Control Module (DC-SCM v2.0), promoting interoperability and long-term utility.
The collaboration aims to meet the needs of modern data centers by offering energy-efficient solutions that align with OCP's open-source standards, ensuring sustainable and secure infrastructures. Axiado's AI-driven security features embedded in these servers are designed to keep data centers agile and secure against emerging challenges.
Axiado's AX3000 and AX2000 TCUs, alongside OCP DC-SCM 2.0 compliant SCM3002 and SCM3003, are currently available for purchase. The OCP Global Summit demonstrations showcase the partnership's commitment to advancing cloud and data center security through innovative server platforms.
This initiative represents a significant step for Axiado in its mission to protect critical infrastructure from various cyber threats, including ransomware and supply chain attacks. The company's solutions also aim to reduce energy consumption and operational costs in data centers, contributing to the industry's efforts towards carbon-net zero emissions. The information provided is based on a press release statement.
In other recent news, Jabil Inc. reported strong financial results for the fourth quarter and fiscal year 2024, with Q4 revenues reaching $7 billion. In addition to completing a $2.5 billion share repurchase program, the company announced a new $1 billion buyback plan for fiscal year 2025. Looking ahead, Jabil projects Q1 FY '25 revenues to be between $6.3 billion and $6.9 billion, with core earnings per share estimated at $1.65 to $2.05. The full-year forecast anticipates $27 billion in revenue and core earnings per share of $8.65.
In a strategic development, Jabil has acquired Mikros Technologies LLC, aiming to enhance its data center solutions and address thermal management needs in sectors like AI, energy storage, and electric vehicles. The acquisition is expected to provide Jabil with critical capabilities to support customers in managing intense thermal requirements of current and future products.
As part of its growth strategy, Jabil has reorganized into three segments: Regulated Industries, Intelligent Infrastructure, and Connected Living & Digital Commerce. The company has also divested its Mobility business for $2.2 billion, returning much of the proceeds to shareholders. These developments reflect Jabil's commitment to its growth strategy and returning value to shareholders.
InvestingPro Insights
Jabil Inc.'s (NYSE: JBL) partnership with Axiado Corporation to develop advanced server solutions aligns well with its position as a prominent player in the Electronic Equipment, Instruments & Components industry. This collaboration could potentially bolster Jabil's revenue streams, which is particularly important given that the company's revenue growth has seen a decline of 16.77% over the last twelve months as of Q4 2024, according to InvestingPro data.
Despite the recent revenue challenges, Jabil maintains a strong financial position. The company's P/E ratio of 11 suggests that it may be undervalued relative to its earnings potential. This is further supported by an InvestingPro Tip indicating that Jabil is trading at a low P/E ratio relative to its near-term earnings growth, which could be attractive for value investors.
Another InvestingPro Tip highlights that management has been aggressively buying back shares, which often signals confidence in the company's future prospects. This strategy, combined with Jabil's innovative partnerships like the one with Axiado, may contribute to long-term shareholder value.
For investors seeking more comprehensive analysis, InvestingPro offers 15 additional tips for Jabil, providing a deeper understanding of the company's financial health and market position.
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