The US Department of Justice is investigating Nvidia’s acquisition of Run:ai, an Israeli artificial intelligence start-up, for potential antitrust violations, said a person familiar with discussions the DoJ has had with third parties.
The DoJ has asked market participants about the competitive impact of the transaction, which Nvidia announced in April. The price was not disclosed but a report from TechCrunch estimated it at $700mn.
The scope of the probe remains unclear, the person said. But the DoJ has enquired about matters including whether the deal could quash emerging competition in the up-and-coming sector and entrench Nvidia’s dominant market position.
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