China says Nvidia has violated antitrust regulations

The commercial tensions between China and the USA relative to semiconductors have just become even more tense.

On Monday, Chinese State Administration to regulate the market ruled that the semiconductor giant Nvidia violated regulations on antitrust legislation, First reported by Bloomberg. The decision refers to The acquisition of Mellanox Technologies by Nvidia 2020A computer networking supplier for $ 7 billion.

A Nvidia spokesman provided the following statement: “We comply with the law in every respect. We will continue to work with all the relevant government services as they evaluate the impact of export controls on competition on commercial markets.”

China has not announced any consequences related to its findings and will continue to investigate. However, the decision is likely to develop the ongoing tariff negotiations between the US and China, which are being held today in Madrid. While these commercial discussions are not specific to semiconductors, the issue of Chinese access to Nvidia chip is an important point of dispute between the two regimes.

Biden’s outgoing administration announced the AI ​​diffusion rule in January, which was intended to restrict US chips AI to many countries, with further restrictions specifically for China and other opponents.

While the US Department of Commerce officially abolished Biden’s AI rule in May, the future of the exports of chips AI in China remains in flow. Trump’s administration struck licensing agreements on china to China in April. A few months later, in July, these companies received the green light to start selling these chips again.

Just a few weeks later the country hit a deal that requires companies selling chips in China to give to USA a 15% reduction in revenue It was built on these sales. China has discouraged businesses from buy nvidia chips And, from the recent profit call, none of the company’s brands have done it through the new export process.