In a move widely seen as a retaliatory measure in the ongoing tech cold war, China's State Administration for Market Regulation (SAMR) announced that a preliminary investigation has found U.S. semiconductor giant NVIDIA in violation of its Anti-Monopoly Law.

The announcement, made on September 15th, provided no specific details on the nature of the alleged violations but stated that further investigation would be conducted. This action comes amid heightened U.S. restrictions on semiconductor exports to China.

SAMR initially revealed it was investigating NVIDIA for suspected antitrust violations in December of last year. While details remain scarce, the probe is believed to be linked, at least in part, to NVIDIA's 2020 acquisition of Israeli chipmaker Mellanox Technologies.

A Tit-for-Tat Strategy

The move against NVIDIA is part of a broader pattern of Chinese countermeasures. Just days earlier, on September 13th, China's Ministry of Commerce announced it was launching an anti-dumping investigation into some U.S.-made semiconductors and a separate \"anti-discrimination\" probe into U.S. chip restrictions against China.

The timing is strategic, coinciding with high-level U.S.-China trade talks taking place in Madrid, Spain, since September 14th. By applying pressure on a critical U.S. tech leader, China appears to be aiming to gain leverage in the negotiations.

NVIDIA is a dominant player in the high-performance semiconductors essential for artificial intelligence (AI) applications, making it a high-profile target in the geopolitical struggle for technological supremacy.