China has initiated an antitrust investigation into Nvidia Corp, accusing the company of potentially violating China’s anti-monopoly laws and failing to honor commitments tied to its acquisition of Mellanox Technologies.
The move escalates the tech and trade tensions between China and the United States amidst Washington’s tightening of restrictions on China’s access to advanced semiconductors and chipmaking technology.
Nvidia, a dominant player in the global semiconductor industry, faces growing competition from Chinese rivals and relies heavily on the Chinese market.
The investigation is part of China's strategy to leverage regulatory measures in its trade and tech disputes with the US, highlighting the high stakes of the US-China chip war.