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Zhitong Finance APP learned that Nvidia (NVDA.US) is reportedly facing scrutiny from the U.S. Department of Justice for its plan to acquire the startup Run:ai, which may involve antitrust issues. In addition, sources revealed that the U.S. Department of Justice is also investigating Nvidia's business practices because the company is in the high-endArtificial Intelligence (AI)With a 90% market share in the chip market, Nvidia may have too much power in the field of artificial intelligence, which has aroused the concern of antitrust regulators.

In April, Nvidia announced plans to acquire Israel-based Run:ai, which makes AI chips more efficient by enabling multiple workloads to run in parallel, reducing the number of GPUs needed to complete a task.

Nvidia said it would provide regulators with any information they might need.

"We will continue to support aspiring innovators in every industry and market and are happy to provide any information regulators request," an Nvidia spokesperson said.

“NVIDIA wins on strength, which is reflected in our benchmark results and value to customers,” the spokesperson added. “We compete based on decades of investment and innovation, strict compliance with all laws, making NVIDIA’s services publicly available for every enterprise to deploy in the cloud and on-premises, and ensuring customers can choose the solution that works best for them.”

Last week, it was reported that Nvidia's $700 million acquisition of Run:ai was on hold due to a lengthy regulatory review.

The same month Nvidia announced its plans to acquire Run:ai, the company also acquired Deci, another Israel-based startup that works on improving AI models to run more efficiently.

On July 23, the U.S. Federal Trade Commission, the U.S. Department of Justice, the Antitrust Department, and European regulators reached aGenerative AIA joint statement was issued regarding competition issues with the base model and products.

“All four antitrust enforcement agencies pledged in a joint statement to remain vigilant to potential competition issues and to use existing authorities to guard against strategies that could undermine fair competition or lead to unfair or deceptive practices in the AI ​​ecosystem,” the FTC said in a statement.

It is reported that Nvidia's stock price fluctuated violently this week. Matt Maley, chief market strategist at Miller Tabak + Co., said that the sharp fluctuations in Nvidia's stock price reflect investors' uncertainty about the future prospects of technology stocks. On the one hand, they are worried that the huge amount of money spent by technology giants on artificial intelligence will not bring expected returns on investment, and on the other hand, they are worried about missing the rise of technology stocks.

As of Thursday's close, Nvidia fell 6.67% to $109.21.