Nvidia AI chips face antitrust charges amid market dominance [Video]

The rapid advancement in generative artificial intelligence thanks to graphics processing units has ushered in a new era of innovation and competition, but it has also brought regulatory scrutiny, most recently for Nvidia Corp.’s GPU.

Nvidia, which is reportedly about to be caught in the crosshairs of antitrust regulations in both France and the U.S., is a prime example of how difficult it can be to walk the fine line between market dominance and anti-competitive practices. Not only is the French government reportedly poised to slap the company with antitrust charges, but the U.S. Department of Justice is reportedly investigating Nvidia’s leadership position in the AI chip market and, in addition, scrutinizing its acquisition of startup Run:ai.

“Nvidia has been enjoying quite a meteoric rise or re-rise in the industry,” said David Linthicum, principal analyst at theCUBE Research. “I don’t think it should be something that we consider anticompetitive. It should be something that we look at as a …