The US Department of Justice (DOJ) has reportedly stepped up its antitrust investigation into Nvidia, Bloomberg.
Now, the Justice Department has issued subpoenas seeking evidence that the AI chip giant may be engaging in business practices that allow it to monopolize the market.
The investigation addresses concerns that Nvidia could be impeding competition by making it harder for customers to adopt rival products.
Nvidia under antitrust scrutiny
Bloomberg cites anonymous sources familiar with the matter who say the Justice Department, which previously sent out questionnaires, is now sending out legally binding requests for information.
In addition, the Justice Department is also targeting Nvidia's acquisition of RunAI, an artificial intelligence computing management software company. There are concerns that the merger could further inhibit competition.
Nvidia’s success is largely due to its rapid adoption of artificial intelligence – its powerful chips have proven instrumental in building and maintaining high-performance AI data centres. The company currently has a market capitalisation of $2.02 trillion, after peaking at over $3 trillion earlier this year and temporarily becoming the most valuable company in the world.
While companies like Intel and AMD have introduced their own products, Nvidia's early and strong entry into the market has positioned it well for future growth.
The dominant chipmaker isn't just facing scrutiny in the US: French antitrust regulators have also launched an investigation as part of a broader look at the cloud computing market, and the EU is reportedly examining Nvidia's business practices.
TechRadar Pro has asked Nvidia for comment on the ongoing investigation and we'll be sure to update this story with a response if we receive one.
