China Investigates Nvidia Amid U.S.-China Chip Tensions

China has launched an investigation into Nvidia Corp for suspected violations of anti-monopoly laws, in response to recent U.S. restrictions on Chinese semiconductors. The probe focuses on Nvidia's acquisition of Mellanox Technologies and comes amid broader trade tensions between the U.S. and China affecting the global chip industry.

China has initiated an investigation into Nvidia Corporation over alleged breaches of the nation's anti-monopoly regulations, signaling potential retaliation against the U.S.'s latest restrictions on China's semiconductor sector.

The State Administration for Market Regulation (SAMR) announced the probe without detailing how Nvidia, a prominent AI and gaming chip manufacturer, allegedly violated the laws. Suspicions also surround Nvidia's adherence to commitments detailed during its acquisition of Israeli chip designer Mellanox Technologies in 2020.

The development follows Washington's continuous restrictions on Chinese semiconductor firms, amid warnings by Chinese industry groups to limit reliance on U.S. chips. Nvidia, heavily affected by these trade tensions, once led China's AI chip market with a 90% share.

(With inputs from agencies.)