China probes Nvidia amid escalating tech tensions
The chipmaker company draws Beijing’s attention.
China has launched an anti-monopoly investigation into US chipmaker Nvidia, citing possible violations linked to its acquisition of Mellanox Technologies in 2020. The move is widely seen as retaliation against recent US restrictions on China’s semiconductor sector, including curbs on advanced chip exports.
Nvidia, which dominates China’s AI chip market, is accused of breaching conditions tied to the Mellanox deal, such as fair trade requirements and restrictions on bundling products. The probe comes amid heightened trade tensions, with Beijing encouraging local companies to avoid US chips and Washington tightening export controls on critical semiconductor technologies.
Analysts suggest the investigation is unlikely to significantly impact Nvidia in the near term, as its most advanced chips are already restricted from sale in China. However, the company faces growing competition from domestic firms like Huawei. China accounted for 17% of Nvidia’s revenue last year, down from 26% two years prior, as US-China tech conflicts continue to reshape the global semiconductor landscape.
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