DOJ probes Nvidia's licensing deal with AI startup Groq, NYT reports

On September 9, the U.S. Justice Department is examining potential antitrust violations in Nvidia's licensing agreement with AI startup Groq, according to a report by the New York Times. The investigation arises after the $17 billion deal was announced in December, in which Nvidia secured a non-exclusive license to Groq's chip technology and hired several of Groq's top executives, including founder Jonathan Ross.

The Justice Department initiated the probe shortly after the deal's announcement and has now sent Nvidia a formal request for information regarding the transaction. Should the agency discover any wrongdoing, Nvidia could face fines, though it is unlikely that the deal would be required to be terminated. Nvidia, Groq, and the U.S. Justice Department have yet to comment on the matter.