The U.S. Department of Justice (DOJ) is launching an investigation into Nvidia‘s recent acquisition of the Israeli artificial intelligence firm Run, amid concerns that the deal could breach antitrust regulations. This probe was reported on Thursday by Politico, citing five anonymous sources familiar with the matter.
Nvidia, a prominent player in the semiconductor industry, finalized the purchase of Run for approximately $700 million in April this year. Run specializes in technology that enhances the management and optimization of AI infrastructure, a critical component for developers and tech teams.
An Nvidia spokesperson has affirmed the company’s commitment to fostering innovation across all sectors and expressed willingness to cooperate fully with regulatory inquiries. The DOJ has yet to respond to Reuters’ request for comments regarding this investigation.
The investigation is part of a broader scrutiny by U.S. antitrust agencies into the acquisition strategies of major technology firms. There are growing concerns that consolidating advanced technologies within a few dominant companies could undermine competitive dynamics in the tech industry.
Adding to Nvidia’s regulatory challenges, a Reuters report from last month revealed that France’s antitrust authorities are also preparing to accuse Nvidia of potential anti-competitive practices.
Nvidia’s financial performance has surged over the past year, with its processors becoming crucial for powering AI applications such as training models like ChatGPT. The company holds an estimated 80% share of the AI chip market, solidifying its dominant position in the industry.
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