Nvidia Violated Antitrust Law, China Says

China said Monday that Nvidia (NVDA) violated anti-monopoly laws and that it would keep investigating the chip giant, putting the AI bellwether under pressure as Beijing and Washington continue trade talks.

The announcement from China’s State Administration for Market Regulation followed a preliminary investigation into Nvidia’s acquisition of Israeli networking-gear maker Mellanox Technologies in 2000. The announcement was cited by Chinese state media. 

Beijing gave the deal the go-ahead, with the proviso that China continues to receive supplies. Since then, however, the U.S. has deployed export controls to limit sales of high-end chips to the Asian country. President Donald Trump in August allowed Nvidia to continue selling its H20 chips to China in exchange for a 15% share of revenues after initially imposing restrictions.

Nvidia shares, which entered Monday up 32% so far this year, are down slightly in premarket trading.