Supreme Court Allows Nvidia Class-Action Lawsuit to Proceed Amidst Legal Challenges

The Supreme Court has allowed a class-action lawsuit against Nvidia to continue, involving allegations of misleading investors about its reliance on cryptocurrency mining. This follows a drop in Nvidia’s stock due to cryptocurrency profitability decline. Additionally, China has launched an investigation into Nvidia for suspected anti-monopoly law violations.

The Supreme Court has decided to permit a class-action lawsuit accusing Nvidia of deceiving investors about its past reliance on cryptocurrency mining chips to continue.

This development coincides with an investigation by China into Nvidia over potential violations of anti-monopoly laws. Despite these challenges, Nvidia's stock has increased by 180% this year, driven by the company's leadership in the artificial intelligence sector.

A Swedish investment firm leads the suit, focusing on a significant drop in Nvidia's stock in 2018. The legal path was upheld after an initial dismissal was overturned by a federal appeals court, with the Biden administration supporting the investors at the Supreme Court.

(With inputs from agencies.)