France poised to bring 'charges against Nvidia'

French regulatory authorities are preparing to level charges against Nvidia for allegedly anti-competitive practices in the artificial intelligence (AI) infrastructure market. As the leading supplier of GPUs and high-speed networking needed for building AI training clusters, Nvidia’s share of the market is estimated to be over 80 percent, which has attracted the attention of French antitrust officials. In September, Nvidia’s French offices were raided as part of an ongoing investigation into the cloud computing sector, where it is suspected that certain US companies may have inhibited competition in the region.

Last week, the French competition watchdog released a report that specifically called out Nvidia as a potential source of concern, citing issues like access to compute infrastructure, data, and talent. The report formed part of a broader examination of the competitive landscape in the generative AI industry in France. Further investigations are anticipated to delve into these matters more deeply.

In addition to France, the European Union and the US Department of Justice are reportedly examining Nvidia’s market dominance to ascertain whether any corrective measures are required or if Nvidia has strayed into monopoly territory. Despite Nvidia’s significant market share, it does face competition from other companies like AMD, Intel, and Cerebras, which offer alternatives such as MI300-series GPUs and APUs, Gaudi3 accelerators, and waferscale training chips. Nvidia has not yet made any official comments on the allegations.

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