Daily Earnings: AI supply woes and contractor purges (HPE, CRDO) | Jun 1

The immense demand for AI infrastructure is slamming into hard physical limits, forcing suppliers to desperately hoard factory space while slashing internal human labor just to defend their margins.- HPE's networking revenue dropped 28 percent purely because they lacked physical components to build servers.- Chipmaker CRDO parked 28 million dollars in cash at foundries to hoard 2027 assembly capacity.- HPE explicitly used internal generative AI to directly eliminate 90 percent of its outsourced contractor workforce.We also unpack how legacy convertible notes gave silver miner SVM an accidental paper net loss.