Nvidia Corp., responding to a Bloomberg News report that the U.S. Justice Department has served it with subpoenas as part of an antitrust investigation, said it has been in contact with the government agency but has not been subpoenaed.
The Justice Department typically sends requests for information in the form of what’s known as a civil investigative demand, which is commonly referred to as a subpoena. The Justice Department has sent one such request seeking information about Nvidia’s acquisition of RunAI and aspects of its chip business, according to a person with direct knowledge of the matter.
In its response to the story, Nvidia said its advantage in the AI computing market comes from the superiority of its products.
“Nvidia “The company wins on its own merits, as reflected in our benchmark results and the value it delivers to customers, and customers can choose the solution that best fits their needs,” the company said in a statement, adding: “We have consulted with the U.S. Department of Justice and have not been subpoenaed. However, we are happy to answer any questions regulators may have about our business.”
As part of the investigation, which Bloomberg previously reported in June, investigators have been reaching out to other tech companies for information. The Justice Department’s San Francisco office is leading the probe, people familiar with the matter said. A Justice Department representative declined to comment.
Antitrust officials are concerned that Nvidia is making it harder to switch to other suppliers and penalizing buyers who don’t exclusively use its artificial intelligence chips, according to the people, who asked not to be identified because the discussions are private.
Regulators have been investigating the purchase of RunAI, a transaction announced in April. That company makes software to manage artificial intelligence computing, and there are concerns that the merger will make it harder for customers to switch from Nvidia chips. Regulators are also looking into whether Nvidia offers preferential supply and pricing to customers who use its technology exclusively or buy its complete systems, according to the people.
Nvidia has been under regulatory scrutiny since it became the world’s most valuable company. chip manufacturer and a key beneficiary of the AI Spending BoomSales have more than doubled each quarter, eclipsing former chip leaders such as Intel Corp.
Disclaimer:
The information contained in this post is for general information purposes only. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the post for any purpose.
We respect the intellectual property rights of content creators. If you are the owner of any material featured on our website and have concerns about its use, please contact us. We are committed to addressing any copyright issues promptly and will remove any material within 2 days of receiving a request from the rightful owner.