The U.S. Department of Justice is probing Nvidia's (NASDAQ:NVDA) planned $12.93 billion acquisition of open-source AI hub Hugging Face as part of a broader, multi-year antitrust investigation into the chipmaker's business practices. Investigators are examining whether the deal would let Nvidia control a key distribution channel for AI models and software, while Nvidia, which expects to close the transaction in the first half of 2027, says the platform will keep supporting rival processors, cloud architectures and software ecosystems. The inquiry also covers Nvidia's sales tactics, strategic investments and past acquisitions, including Run:ai, SchedMD and a 2025 licensing and talent deal with Groq, as well as allegations that preferential chip allocations were tied to purchases of networking equipment and Groq processors. Nvidia shares slipped 1.7% on Wednesday; the probe began under the Biden administration and continued under Trump, though there is no indication the White House has intervened and inquiries do not always lead to formal enforcement.
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NVDAmergers and acquisitionsantitrustartificial intelligencesemiconductors
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NVDA
▼ Likely negativeNvidia
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 10/28/2026 | 215.39 |
| Change that session | -1.17% |
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