Nvidia faces antitrust probe as Justice Department issues subpoena

Nvidia has been subpoenaed by the Justice Department as part of an escalating antitrust investigation focused on the company's business practices. The probe, led by the San Francisco office of the Justice Department, is examining concerns that Nvidia may be engaging in monopolistic behavior by making it challenging for buyers to switch to alternative chip suppliers. Reports indicate that the investigation is particularly scrutinizing Nvidia's recent $700 million acquisition of AI management firm RunAI, which regulators believe could limit options for customers seeking alternatives to Nvidia's chips. The Justice Department's inquiry suggests that Nvidia may be penalizing customers who do not exclusively purchase its AI chips, raising further concerns about the company's market influence. This investigation is part of a broader trend where regulators are increasingly focused on the practices of major technology firms, particularly in the rapidly evolving AI sector. Nvidia has publicly responded to the investigation, asserting that its business practices are justified by the value it provides to customers, who are free to choose the best solutions for their needs. As the investigation progresses, it could lead to a formal complaint against Nvidia, which would have significant implications for the company and the tech industry at large. The outcome of this probe may influence how technology companies operate and interact with their customers, particularly in terms of competition and market access. The situation remains fluid, and further developments are expected as regulators continue their examination of Nvidia's practices.