US chipmaking giant subject to antitrust investigation in China
The Chinese market regulator has stated that it will investigate potential anti-monopoly violations involving Nvidia. Read Full Article at RT.com.
TroibNews 
**Nvidia Faces Antitrust Investigation in China**
On Monday, the Chinese anti-monopoly regulator announced the initiation of an antitrust investigation into Nvidia, the US chipmaking giant. This probe coincides with ongoing efforts by Washington to impose stricter restrictions on technology exports to China.
According to the State Administration for Market Regulation, the investigation will focus on Nvidia's acquisition of Israeli chip designer Mellanox Technologies. This multi-billion-dollar deal received approval from Beijing four years ago, contingent on Nvidia ensuring that it would not favor certain Chinese companies. Mellanox was also mandated to share information about new products with competitors within 90 days of their availability to Nvidia.
“In recent days, due to Nvidia’s suspected violation of China’s anti-monopoly law and… restrictive conditions around Nvidia’s acquisition of Mellanox shares... the State Administration for Market Regulation is opening a probe into Nvidia in accordance with law,” the statement reads.
Following the announcement of the investigation, Nvidia’s shares fell more than 2% on Monday.
Founded in 1993, Nvidia initially specialized in designing graphics cards for the gaming industry but later expanded its chip functionalities to focus on machine learning, significantly boosting its market presence. The recent surge in AI technology investment has led to remarkable growth for the company, with its stock rising nearly 200% this year.
This investigation follows new export restrictions implemented by the US last week, affecting a wide array of chipmaking tools and software directed at China.
In response, Beijing has enacted a ban on the export of several dual-use items and essential raw materials used in semiconductor manufacturing and military applications. The Chinese Ministry of Commerce has accused the US of "weaponizing" economic and technological issues while warning that such actions severely undermine international trade and jeopardize global industrial and supply chain stability.
In recent years, the two largest economies have competed vigorously for dominance in critical technology sectors, particularly semiconductors. Washington has consistently tightened export controls aimed at preventing Chinese firms from acquiring specific American components, citing national security concerns.
Beijing has criticized these export controls, asserting that they contradict accepted global market principles.
Debra A Smith for TROIB News
On Monday, the Chinese anti-monopoly regulator announced the initiation of an antitrust investigation into Nvidia, the US chipmaking giant. This probe coincides with ongoing efforts by Washington to impose stricter restrictions on technology exports to China.
According to the State Administration for Market Regulation, the investigation will focus on Nvidia's acquisition of Israeli chip designer Mellanox Technologies. This multi-billion-dollar deal received approval from Beijing four years ago, contingent on Nvidia ensuring that it would not favor certain Chinese companies. Mellanox was also mandated to share information about new products with competitors within 90 days of their availability to Nvidia.
“In recent days, due to Nvidia’s suspected violation of China’s anti-monopoly law and… restrictive conditions around Nvidia’s acquisition of Mellanox shares... the State Administration for Market Regulation is opening a probe into Nvidia in accordance with law,” the statement reads.
Following the announcement of the investigation, Nvidia’s shares fell more than 2% on Monday.
Founded in 1993, Nvidia initially specialized in designing graphics cards for the gaming industry but later expanded its chip functionalities to focus on machine learning, significantly boosting its market presence. The recent surge in AI technology investment has led to remarkable growth for the company, with its stock rising nearly 200% this year.
This investigation follows new export restrictions implemented by the US last week, affecting a wide array of chipmaking tools and software directed at China.
In response, Beijing has enacted a ban on the export of several dual-use items and essential raw materials used in semiconductor manufacturing and military applications. The Chinese Ministry of Commerce has accused the US of "weaponizing" economic and technological issues while warning that such actions severely undermine international trade and jeopardize global industrial and supply chain stability.
In recent years, the two largest economies have competed vigorously for dominance in critical technology sectors, particularly semiconductors. Washington has consistently tightened export controls aimed at preventing Chinese firms from acquiring specific American components, citing national security concerns.
Beijing has criticized these export controls, asserting that they contradict accepted global market principles.
Debra A Smith for TROIB News
