Technology
US Justice Department investigates Nvidia's licensing deal with Groq

US Justice Department investigates Nvidia's licensing deal with Groq

The Indian Express47m
THE BRIEF
1

The US Department of Justice is investigating whether Nvidia attempted to bypass antitrust scrutiny through its licensing and hiring agreement with AI chipmaker Groq last year.

2

Under the 2025 arrangement, Nvidia gained access to Groq's custom chips while Groq's CEO and chief operating officer joined Nvidia without a traditional merger or acquisition review.

3

The DOJ sent Nvidia a formal demand for information, which could lead to fines if violations are found, though no wrongdoing has yet been determined.