US Justice Department Reportedly Investigating NVIDIA’s Run.ai Deal

The U.S. Department of Justice is probing NVIDIA's acquisition of AI startup Run.ai on antitrust concerns, according to a Politico report. NVIDIA revealed the purchase of the Israeli company in April for approximately $700 million.

Run.ai's technology helps developers manage their Graphics Processing Units (GPU) clusters more efficiently. The Tel Aviv-based startup, which is incorporated as Runai Labs Ltd., previously raised about $118 million from investors. It sells a software platform that allows companies to realize a better return on their GPU clusters.

Due to the boom in generative AI, NVIDIA’s GPUs have become the most sought-after piece of hardware in the tech realm.

The Justice Department is also examining whether there are any instances of artificial intelligence companies sharing executives or directors, a situation that may potentially breach U.S. antitrust regulations, according to Andrew Forman, deputy assistant attorney general for antitrust at the DoJ. The department is actively monitoring instances where AI rivals share board members.