China has opened a probe into Nvidia over suspicions that the U.S. chipmaker broke anti-monopoly laws around a 2020 deal, taking aim at the artificial intelligence heavyweight as Washington ramps up sanctions.
The State Administration for Market Regulation opened an investigation into the company¡¯s recent behavior as well as the circumstances surrounding the acquisition of Mellanox Technologies, the government said in a statement on Monday. Beijing gave approval for the deal four years ago, on condition that Nvidia not discriminate against Chinese companies.
The move against Nvidia is Beijing¡¯s latest riposte to escalating U.S. technology curbs, coming just a week after the Chinese government banned exports of several materials with tech and military applications. Nvidia¡¯s market value has ballooned this year on demand for chips that can run AI programs, making it one of the most valuable publicly traded companies and China¡¯s largest corporate target in the tech trade war so far.
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