Reuters news report claims, the French Competition Authority (Autorité de la concurrence) may launch an investigation into whether NVIDIA's competition in the artificial intelligence market has created a monopoly.
In late September last year, the French Competition Authority launched a lawsuit against NVIDIA for allegedly helping large cloud companies squeeze out small cloud service providers from competing fairly.Conduct surprise searchesThe rumored investigation into NVIDIA stems from the fact that NVIDIA uses its CUDA technology to bundle its GPU products to promote the development model of accelerating artificial intelligence training, which may involve monopolizing the development of the artificial intelligence market.
Given that NVIDIA's GPU products currently account for approximately 90% of the AI market, regulators in Europe and the United States are concerned about whether they could impact market competition. However, NVIDIA has not yet responded to this question.
In a previous investigation, the French Competition Authority believed that small cloud service providers, or services that entered the market later, basically found it difficult to compete with large-scale cloud service providers that have already gained a majority market share. Especially in the current development trend of artificial intelligence application services, it is almost impossible for small-scale operators to compete fairly with large operators such as Amazon, Google, and Microsoft.
Currently, many cloud operators use graphics card acceleration to promote artificial intelligence computing. NVIDIA has become the graphics card supplier behind the acceleration of many artificial intelligence application services, and has therefore been targeted by the French Competition Authority and is under investigation.
