Marvell cancels POET Technologies orders after confidentiality breach, stock falls 46%

Marvell told POET it had publicly disclosed details of purchase orders tied to Celestial AI in violation of confidentiality obligations

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POET Technologies stock fell more than 46% after Marvell Technology cancelled all purchase orders tied to Celestial AI, citing alleged violations of POET's confidentiality obligations.

On April 23, POET got a formal notice from Marvell, which said POET had wrongly shared details about the purchase orders and shipping information, breaking confidentiality rules. Some of the canceled orders included early production units that had already been mentioned in a press release from April 2023.

According to Yahoo Finance, the dispute stems from POET publicly disclosing Celestial AI's purchase order after Marvell acquired Celestial AI in February. Marvell has accused POET of making those details public without authorization.

The company, a designer and manufacturer of optical engines and light sources serving AI infrastructure, said its attention remains on advancing its product roadmap and strategic goals across the AI and optical networking sectors. POET added that shipments to other customers are proceeding as planned, pointing to a separately announced deal with an unidentified technology firm worth roughly $5 million.

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