China accuses Nvidia of anti-monopoly law violations, raising prospect of heavy fines — company could be fined 10% of revenue from China

China's market regulatory body has accused Nvidia of violating anti-monopoly laws, potentially leading to heavy fines of up to 10% of the company's revenue from China. The investigation stems from suspicions that Nvidia breached commitments made during the acquisition of Mellanox Technologies in 2020. This move is seen as possibly linked to trade negotiations between China and the U.S., particularly regarding China's access to high-end American processors for AI workloads. The situation has led to uncertainty around Nvidia's products in China, prompting the country to push for more domestic chip production and accusing Nvidia of various practices. The outcome may depend on whether this is a negotiating tactic during ongoing talks between the U.S. and China.