Nvidia Faces DOJ Probe Over $17 Billion Licensing Deal with Groq

The US Justice Department is investigating Nvidia's licensing deal with AI chip startup Groq. The agency opened its investigation shortly after the deal was announced in December, and has sent a formal request for information to Nvidia.

Nvidia announced a $17 billion deal with Groq last year for a 'non-exclusive license' to the startup's chip technology. As part of the agreement, Nvidia hired several of Groq's executives, including founder Jonathan Ross.

An Nvidia spokesperson said in a statement that the company believes the arrangement is a prime example of the American system working as designed to promote innovation and benefit consumers.