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30 INTERNATIONAL AWEMainta Dialuna, 2 October 2023

French Authorities Raid Nvidia in

Anti-Competitive Practices Probe

IN a surprising turn of events, French authorities paid an

early morning visit to the offices of Nvidia, a prominent
player in the global computer chip manufacturing industry
and a key contender in the AI arms race. The French
Competition Authority (FCA) announced the raid, conducted

under judicial authorization, as part of an inquiry into poten-
tial anti-competitive practices by the chipmaker. While the
FCA initially refrained from naming the specific company
targeted, it has since been confirmed that Nvidia was the

subject of the investigation.

This development comes against the backdrop of increasing
scrutiny of major tech corporations by European regulatory

bodies. The European Union has been taking a tough stance
on big tech, preparing to enact comprehensive regulations
aimed at curbing the industry’s influence.
In June, the FCA released a report detailing its investiga-

tion into the cloud computing industry, exploring whether
the dominance of companies such as Amazon, Google, and
Microsoft in this sector was adversely affecting competition
in related fields, including cloud gaming and AI. scores Nvidia’s status as an industry giant. Traditionally

While Nvidia was not explicitly mentioned in the FCA’s report, known for its dominance in the graphics processing unit
its substantial presence and influence in both the graphics (GPU) market, Nvidia has seen explosive growth in recent
card and AI sectors have made it a prime suspect in the eyes years, becoming one of the world’s most valuable corpo-
of regulators. rations. Its trillion-dollar valuation places it in the elite

company of tech giants like Microsoft, Apple, and Google.
The outcome of this raid remains uncertain, but it under-
The driving force behind Nvidia’s recent success has been
the surge in generative AI, fueled in part by cryptocurrency

mining. The company’s GPUs have proven to be exception-
ally well-suited for handling demanding AI models such
as ChatGPT. Tech giants have been willing to pay premium
prices, often exceeding $10,000 per unit, for Nvidia’s

advanced chips. The high demand has strained manufac-
turing capabilities.

However, it’s important to note that the raid does not imply

Nvidia’s guilt of any wrongdoing. The FCA emphasized that
raids are not indicative of a breach of the law and that only
a comprehensive investigation can establish whether any
violations have occurred.

In the ever-evolving landscape of technology and competi-
bin bishita nos y probecha! tion, Nvidia finds itself at the center of a regulatory inquiry
Paña di bon calidad na bon prijs. that could have far-reaching implications for the industry. As

Adres: Avenida Milio J. Croes 47 local 3 this investigation unfolds, the tech world watches closely to
Telefon: 5646733 – 5653466
E-mail: info@carlymar.com see how this industry titan navigates the challenges ahead.