Key Highlights

  • Shares are trading down 37.77% at $4.00 versus a prior close of $6.42.
  • The target cluster totals 512 Blackwell Ultra B300 GPUs with 560TB of storage.
  • XMax expects more than $100 million in cumulative Revenue over five years.

XMax (NASDAQ:XMAX) shares are trading down 37.77% at $4.00 even after the company announced a five-year artificial intelligence infrastructure services agreement with DSH HYPER of Singapore. The stock is near its 52-week low of $3.07 and well below the 52-week high of $9.34.

XMax, formerly Nova LifeStyle, is based in Commerce, California, and distributes contemporary furniture while building AI software and platform services through subsidiaries including XMax AI. It plans to use the new capacity for its NeoCloud and AI Token Factory offerings.

Five-Year Agreement Targets 512 Blackwell Ultra GPUs in Korea

Under the agreement, XMax will obtain dedicated high-performance computing services deployed in Korea on infrastructure provided by kt cloud. The planned cluster has 64 compute nodes, each with eight Blackwell Ultra B300 GPUs, for a target of 512 GPUs plus 560TB of parallel storage. Service began on October 29 with an initial 480 GPUs, with the full configuration to follow in phases.

XMax intends to use the cluster mainly for high-throughput AI inference to help optimize cost, latency and throughput.

Board Approval and a November 17 Security Deadline Remain

The five-year commitment is subject to closing conditions, including approval by XMax's Board of Directors and delivery of a security guarantee and Standby Letter of Credit in favor of kt cloud by November 17. Material terms are set out in a Form 8-K filed with the SEC today.

XMax said its immediate focus is to complete technical validation of its first AI Token Factory and prepare for launch. Planned products include inference services billed on API usage, managed model endpoints and enterprise AI applications, delivered across the United States, Japan, Korea and Singapore.

More Than $100 Million Revenue Target Depends on Commercialization

XMax expects the businesses supported by the project to generate more than $100 million in cumulative revenue over the next five years, based on the planned deployment and commercialization progress. The target covers inference services, managed model services and enterprise AI applications. The next milestones are the November 17 security deadline and the AI Token Factory launch.