China’s state agency for market regulation has reportedly launched an antitrust investigation into American chipmaker Nvidia over possible antitrust violations Bloomberg.

The American chipmaker is under scrutiny for its recent activities and acquisition of Mellanox Technologies.

This investigation comes at a time when tensions between the US and China are escalating.

The investigation also focuses on Nvidia’s compliance with terms set by China in its $7 billion acquisition of Mellanox in 2020.

These terms required Nvidia to treat Chinese companies fairly and share information about new products.

Nvidia was quoted by the news outlet as saying in a statement that the company is “happy to answer any questions from regulators about our business.”

“Nvidia wins on performance, which is reflected in our benchmark results and customer value, and customers can choose the solution that is best for them. We work hard to provide the best possible products in every region and deliver on our commitments wherever we do business.”

The U.S. has taken steps to hamper China’s progress in semiconductor technology, including banning Nvidia from selling its leading-edge chips in China.

In response, China imposed export bans on certain materials with technological and military benefits.

In early 2024, the US Department of Justice opened an investigation into Nvidia’s business practices and raised concerns about possible antitrust violations.

In Europe, France’s antitrust chief Benoit Coeure hinted that Nvidia could face antitrust charges, and the European Union has also launched a preliminary investigation into suspected anti-competitive practices in AI chips.

beginning of December 2024, Reuters reported that Taiwan Semiconductor Manufacturing (TSMC) is negotiating with NVIDIA to manufacture its Blackwell artificial intelligence chips at TSMC’s upcoming factory in Arizona, USA.

“Nvidia faces antitrust probe in China” was originally created and published by Verdict, a brand owned by GlobalData.

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