The US Department of Justice is being pushed to investigate NVIDIA over anti-competitive concerns in its dominance in the AI GPU business.
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Progressive groups backed by Senator Elizabeth Warren, have written a letter to anti-trust boss Jonathan Kanter, to open an investigation into NVIDIA. The push is coming from Demand Progress and 9 other entities that push for government scrutiny against monopolies in business, and now NVIDIA is in their crosshairs.
A magnifying glass is being put over NVIDIA’s bundling of hardware and software, which has created a tight-grip monopoly on the AI GPU market. The groups wrote: “This aggressively proprietary approach, which is strongly contrary to industry norms about collaboration and interoperability, acts to lock in customers and stifles innovation“.
Warren said: “Allowing a single company to effectively be the gatekeeper for the world’s AI future is dangerous and poses dire economic risks. The DOJ is right to investigate NVIDIA’s anti-competitive practices”.
NVIDIA has seen its market cap rise above a record $3.3 trillion, making it the world’s most valuable company, which has seen more eyes than ever on NVIDIA. AI is the next frontier, and NVIDIA has been the source of power for everything AI.
An NVIDIA spokesperson said: “Regulators need not be concerned, as we scrupulously adhere to all laws and ensure that NVIDIA is openly available in every cloud and on-prem for every enterprise. We’ll continue to support aspiring innovators in every industry and market and are happy to provide any information regulators need”.