U.S. DOJ antitrust launches investigation into NVIDIA over abused AI market dominance

NVIDIA is estimated to command over 80% of the AI chip market.

The U.S. Department of Justice is investigating complaints from competitors about NVIDIA’s behavior in the AI chip market, according to a report from The Information.

The DOJ is reaching out to companies like AMD to gather information. Allegations suggest that NVIDIA has threatened to penalize customers who buy products from competitors and might be charging higher rates for networking gear if companies purchase AI chips from AMD or Intel.

In response to Reuters’ inquiry about these allegations, an NVIDIA spokesperson said:

We compete based on decades of investment and innovation, scrupulously adhering to all laws, making Nvidia openly available in every cloud and on-prem for every enterprise, and ensuring that customers can choose whatever solution is best for them.

— NVIDIA Spokesperson to Reuters

NVIDIA Blackwell HGX B100 System, Source: ServeTheHome

This isn’t the first time NVIDIA has faced antitrust investigations. Back in September, similar complaints from French companies led to investigators raiding NVIDIA offices .

Meanwhile, NVIDIA is set to launch its latest Blackwell GPU architecture by the end of the year. Earlier this week, NVIDIA confirmed that the company is now sampling the units, as stated by CEO Jensen Huang at SIGGRAPH.

Source: The Information via Reuters