The U.S. Department of Justice (DOJ) has launched an investigation into Nvidia, prompted by allegations of the company potentially exploiting its dominant position in the AI processor market, according to a report by The Information. The probe focuses on whether Nvidia's business practices unfairly limit competition by forcing its customers to buy products in bundles or using strongarm tactics to cease business with its rivals.
The U.S. DoJ is reportedly examining whether Nvidia had threatened to punish customers who buy their AI processors from its rivals like AMD and Intel or smaller startups by delaying their long awaited orders. Such practices could clearly stifle competition and eventually limit options on the market of AI processors. However, Nvidia denies such business practices and asserts that it allocates GPUs fairly between its customers.
