Nvidia Refutes Claims of Subpoena Over Antitrust Concerns

On Wednesday, Nvidia denied reports suggesting it had received a subpoena from the U.S. Department of Justice (DOJ) in relation to antitrust concerns. The statement came after Bloomberf reported Tuesday that the tech giant had been subpoenaed, a report which led to a dip in the company’s stock price during after-hours trading.

A spokesperson from Nvidia clarified the situation in a statement to CNBC, saying, “We have inquired with the U.S. Department of Justice and have not been subpoenaed. Nonetheless, we are happy to answer any questions regulators may have about our business.”

The bloomberg report did not provide specific details about the reasons behind potential regulatory interest. However, Nvidia’s significant role in the artificial intelligence (AI) chip market has been at the forefront of its recent surge. With an estimated 80% share of the AI chip market for data centers, Nvidia’s dominance has far outpaced rivals such as AMD and Intel, who have only recently begun making inroads into the field.

Related: Nvidia Shares Continue to Slide Amid Antitrust Probes and Market Concerns

Nvidia’s spokesperson emphasized the company’s competitive standing in the market, stating, “Nvidia wins on merit, as reflected in our benchmark results and value to customers. Customers can choose whatever solution is best for them.”

Despite the clarification, Nvidia’s stock remains under pressure, having already lost close to 10% during regular trading hours on Tuesday, with the news of the potential subpoena adding to investor concerns.

Source: CNBC