Connect with us

Published

on

File: The Amazon distribution center in Garner, N.C. opened in August 2020. Across four floors, the warehouse covers 2 million square feet.

Scott Sharpe | Tribune News Service | Getty Images

Amazon workers at a facility near Raleigh, North Carolina, overwhelmingly voted against unionizing on Saturday.

Of the 3,276 ballots cast, there were 2,447 votes opposing the union and 829 in favor, according to the National Labor Relations Board. There were 77 challenged ballots, a gap that’s too narrow to change the outcome of the election. The results still need to be certified by the NLRB.

The election at the facility, named RDU1 and located in the suburb of Garner, came after organizers with the upstart Carolina Amazonians United for Solidarity and Empowerment (CAUSE) campaigned at the warehouse for the past three years. The facility employs roughly 4,700 workers.

CAUSE said in a statement that the election results were a “result of Amazon’s willingness to break the law.”

“Amazon’s relentless and illegal efforts to intimidate us prove that this company is afraid of workers coming together to claim our power,” the group said. “Amazon may think it is above the law, but we will not accept a system that allows billionaires and corporations to play by a different set of rules.”

Amazon spokeswoman Eileen Hards denied that the company broke the law or interfered with the election.

“We’re glad that our team in Garner was able to have their voices heard, and that they chose to keep a direct relationship with Amazon,” Hards said in a statement. “We look forward to continuing to make this a great place to work together, and to supporting our teammates as they build their futures with us.”

Amazon, the nation’s second-largest private employer, has long sought to keep unions out of its ranks. The strategy succeeded in the U.S. until 2022, when workers at a Staten Island warehouse voted to join the Amazon Labor Union. Last month, workers at a Whole Foods store in Philadelphia voted to join the United Food and Commercial Workers union.

Amazon responded to the Garner union drive with a barrage of anti-union messages in the warehouse, on a website, and sent through its AtoZ app to employees. A leader of the warehouse urged employees to “vote no,” saying a union “can get in the way of how we work together.” The company described CAUSE as an “outside party” that’s “claiming to be a union.”

Amazon has previously said its employees can choose whether or not to join a union, and that it speaks “openly, candidly and respectfully about these topics” so that they can “make an informed decision.”

CAUSE was founded in 2022 by RDU1 employees Mary Hill and Rev. Ryan Brown to voice concerns about the company’s response to the Covid pandemic, which they viewed as inadequate. The group sought to organize RDU1 to boost wages and secure longer breaks.

Read more CNBC tech news

Starting pay at RDU1 is $18.50 an hour. CAUSE has pushed to negotiate for wages of $30 an hour.

In its statement on Saturday, CAUSE said it intended to continue organizing at RDU1 “because over half of Amazon employees are still struggling with food and housing insecurity.”

Labor groups have looked beyond NLRB elections in an attempt to gain a union foothold at Amazon. They’ve assisted employees with filing unfair labor practice charges with the NLRB against Amazon, accusing the company of violating labor laws.

The International Brotherhood of Teamsters helped coordinate a picket effort at nine Amazon facilities in December. Amazon said the walkout had no impact on its operations.

The Teamsters union has said it represents 9,000 Amazon workers around the country, although the company has refused to recognize the union and bargain with leadership.

Unions have enjoyed increasing support across the country, with 67% of Americans saying they approve of labor unions, according to Gallup. But that hasn’t translated into higher membership rates. Union membership in the private sector declined slightly to 5.9% in 2024, according to the Bureau of Labor Statistics.

North Carolina had the lowest union membership rate in the country last year, with only 2.4% of workers in the state represented, according to the BLS.

WATCH: Amazon’s first U.S. union faces an uphill battle after historic win

How two friends formed Amazon's first U.S. union and what's next

Continue Reading

Technology

Super Micro shares fall on planned $2 billion convertible debt offering

Published

on

By

Super Micro shares fall on planned  billion convertible debt offering

The Super Micro Computer headquarters in San Jose, California, on Dec. 3, 2024.

David Paul Morris | Bloomberg | Getty Images

Super Micro Computer shares fell about 6% on Monday after the server maker said it plans to offer $2 billion in convertible notes, maturing in 2030.

A company’s stock often falls on the announcement of a convertible offering because the eventual conversion to equity could dilute existing shareholders’ stakes.

Super Micro, which has seen its business boom due to soaring demand for Nvidia’s artificial intelligence processors, said in a press release that it plans to use the proceeds from the offering for “general corporate purposes, including to fund working capital for growth and business expansion.” It also said it would spend about $200 million to repurchase its stock from the note issuers.

Even after Monday’s slide, Super Micro shares are up close to 40% so far in 2025 as the company remains one of a handful of server makers that can sell systems based around new chips from Nvidia, Advanced Micro Devices, and Intel soon after they start shipping. The stock has been viewed by Wall Street as an AI pure play that will appreciate with tech megacap companies expected to spend hundreds of billions of dollars on data centers to support AI workloads.

Super Micro also secured a major contract with a data center in Saudi Arabia when President Donald Trump visited the Middle East in May.

Super Micro “has emerged as a market leader in AI-optimized infrastructure,” Raymond James analysts wrote in a report last month, saying that 70% of the company’s revenue was attributable to AI. The analysts recommend buying the stock.

Investors soured on Super Micro in March and April on concerns about tariffs, and in May the company slashed its fiscal 2025 guidance and chose not to reiterate its previous forecast for $40 billion in fiscal 2026 sales, due to tariff and AI chip uncertainty.

The stock has recouped some of those losses but is still trading well below its high for the year reached in February.

Super Micro had a tumultuous 2024 largely because of accusations of accounting irregularities, and was forced to refile financials with the SEC in order to avoid delisting from the Nasdaq. Super Micro also named a new auditor, removed its CFO and named additional members to its board of directors.

WATCH: The bull case for Super Micro

Raymond James' Simon Leopold talks the bull case for Super Micro

Continue Reading

Technology

Amazon launches second batch of Kuiper internet satellites, taking on Elon Musk’s Starlink

Published

on

By

Amazon launches second batch of Kuiper internet satellites, taking on Elon Musk's Starlink

An Atlas V rocket of United Launch Alliance (ULA) lifts off from Space Launch Complex 41 at the Kennedy Space Center in Cape Canaveral, Florida on June 23, 2025.

Gregg Newton | Afp | Getty Images

Amazon‘s second batch of Kuiper internet satellites reached low Earth orbit on Monday, adding to its plans for a massive constellation and ramping up competition with SpaceX’s Starlink.

A United Launch Alliance rocket carrying 27 Kuiper satellites lifted off from a launchpad at the Cape Canaveral Space Force Station in Florida at 6:54 a.m. ET, according to a livestream.

“We have ignition and lift off of United Launch Alliance Atlas V rocket carrying satellites for Amazon’s Project Kuiper internet constellation, continuing a new chapter in low Earth orbit satellite connectivity,” Ben Chilton, an ordnance engineer at ULA, said on the livestream following the launch.

Monday’s mission was rescheduled twice, owing to inclement weather and a problem with the rocket booster.

Read more CNBC Amazon coverage

Six years ago, Amazon unveiled its plans to build a constellation of internet-beaming satellites in low Earth orbit, called Project Kuiper. The service will compete directly with Elon Musk’s Starlink, which currently dominates the market and has 8,000 satellites in orbit.

Amazon in April successfully sent up 27 Kuiper internet satellites into low Earth orbit, a region of space that’s within 1,200 miles of the Earth’s surface.

The 54 craft currently in orbit are the start of Amazon’s planned constellation of 3,236 satellites. The company has to meet a Federal Communications Commission deadline to launch half of its total constellation, or 1,618 satellites, by July 2026.

The company has booked more than 80 launches with several providers, including rival SpaceX, to deliver Kuiper its satellites into orbit.

WATCH: Amazon Web Services CEO: Lots of opportunity to expand infrastructure globally

AWS CEO: Lots of opportunity to expand infrastructure globally

Continue Reading

Technology

Tesla stock pops 10% as Musk touts ‘successful’ robotaxi Austin launch

Published

on

By

Tesla stock pops 10% as Musk touts 'successful' robotaxi Austin launch

A Tesla Inc. robotaxi on Oltorf Street in Austin, Texas, US, on Sunday, June 22, 2025. T

Tim Goessman | Bloomberg | Getty Images

Tesla‘s driverless robotaxi finally hit the road this weekend, sending shares of the electric vehicle maker up 10% on Monday.

The EV giant debuted autonomous rides in Austin, Texas, on Sunday, opening the service to a limited number of riders by invitation only. CEO Elon Musk said in a post on social media platform X that customers were charged a flat fee of $4.20.

“Super congratulations to the @Tesla_AI software & chip design teams on a successful @Robotaxi launch!! Culmination of a decade of hard work. Both the AI chip and software teams were built from scratch within Tesla,” he said in a post.

One tester wrote on X that they did 11 with the service with “zero issues.” Musk reposted numerous firsthand encounters with the services.

Read more CNBC tech news

Musk has long promised a driverless Tesla robotaxi fleet to investors, amping up the pressure to deliver.

The launch puts Tesla head-to-head with Alphabet‘s Waymo, which is already operating a fleet of robotaxis in several cities across the U.S. and reached 10 million trips last month.

Musk told CNBC’s David Faber last month that Tesla aims to have “Hundreds of thousands, if not over a million” self-driving cars in the U.S. by the end of next year. In May, Musk first announced plans to launch the service in Austin, with later debuts set for Los Angeles and San Francisco.

Heading into the launch, Tesla faced pushback from a group of Democratic lawmakers in Texas and public safety activists urged the company to delay the debut.

Tesla’s full-self driving capabilities, which feature a standard FSD or FSD supervised, include automatic steering and parking, but have been linked to accidents and fatalities, according to data tracked by the National Highway Traffic Safety Administration.

Continue Reading

Trending