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China says preliminary probe shows Nvidia violated anti-monopoly law

China says preliminary probe shows Nvidia violated anti-monopoly law

People stand near the Nvidia logo at its booth during the China International Supply Chain Expo in Beijing, China on Jul 16, 2025. (File photo: Reuters/Florence Lo)

BEIJING: China's market regulator on Monday (Sep 15) said that a preliminary investigation found that United States chip giant Nvidia had violated the country's anti-monopoly law.

The brief statement from the State Administration for Market Regulation did not elaborate on how the US company, known for its artificial intelligence and gaming chips, might have violated China's anti-monopoly laws.

China in December launched an investigation into Nvidia over what it said were suspected violations of the country's anti-monopoly law, a probe that was widely seen as a retaliatory shot against Washington's curbs on the Chinese chip sector.

The Chinese regulator also said the US chipmaker was also suspected of violating commitments it made during its acquisition of Israeli chip designer Mellanox Technologies, under terms outlined in its 2020 conditional approval of that deal.

The SAMR on Monday added that it would continue its investigations. Nvidia did not immediately respond to a request for comment.

According to China’s antitrust law, companies can face fines of between 1 per cent and 10 per cent of their annual sales from the previous year. China generated US$17 billion in revenue for Nvidia in the fiscal year ending Jan 26, or 13 per cent of total sales, based on its latest annual report.

The Chinese market regulator's announcement comes as the US and China hold trade talks in Madrid, where chips, including the ones made by Nvidia, are expected to be on the agenda.

Source: Reuters/dc
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