Overview
- China’s market regulator SAMR said an initial review found breaches of the country’s anti‑monopoly law and advanced the case to an in‑depth investigation.
- The proceeding began in December 2024 and is linked to commitments associated with the Mellanox deal approved with conditions in China.
- Nvidia shares fell more than 2% in U.S. premarket trading following the regulator’s announcement.
- The regulatory step coincides with U.S.–China talks in Madrid covering tariffs, export controls, and the future of TikTok.
- Nvidia’s China business has been constrained by U.S. curbs on high‑end AI chips, with licenses for the H20 model recently reissued as Chinese agencies warned companies about procuring it over security concerns.