China said on Monday it has launched an investigation into Nvidia over suspected violations of the country’s anti-monopoly law, a probe widely seen as a retaliatory shot against Washington’s latest curbs on the Chinese chip sector.
The statement from the State Administration for Market Regulation announcing the probe did not elaborate on how the U.S. company, known for its artificial intelligence and gaming chips, might have violated China’s anti-monopoly laws.
It said the U.S. chipmaker was also suspected of violating commitments it made during its acquisition of Israeli chip designer Mellanox Technologies, under terms outlined in the regulator’s 2020 conditional approval of that deal.
The announcement is the latest salvo in a long-running trade war between China and the United States as the countries vie for technological superiority.
Last week, four of China’s top industry associations issued a rare and coordinated response saying that Chinese companies should be wary of buying U.S. chips as they were “no longer safe” and should buy locally instead.