NVIDIA accused of being a GPU cartel!


Once again, NVIDIA is in the news. This time, it’s not for the better, as the brand is accused of acting as a “GPU cartel”. This is the accusation levelled by Groq (a chip manufacturer) and Scott Herkelman, a former AMD executive.

NVIDIA, the GPU cartel!

Jensen Huang - NVIDIA - le filou

In a nutshell, NVIDIA is accused of behaving like a ” GPU cartel” and abusing its dominant position. Let’s not forget that AI-related components are all the rage these days. NVIDIA has literally exploded on the stock market thanks to this monumental hype.

However, the chameleon currently holds 80% of the AI market, putting the company in a dominant position. Clearly, to maintain this leadership position, the brand would not hesitate to resort to anti-competitive practices. According to Jonathan Ross (via Wall Street Journal), Groq’s CEO, some customers are afraid to meet the competition for fear of reprisals. The latter taking the form of delayed deliveries, for example. However, given the sector’s rapid growth and high demand, any delay can quickly become damaging.

According to Groq’s CEO, “it’s happening more than you think”, and action is being taken against people working with the greens. He mentions that the company has “learned from GPP by not putting it on paper”. As a reminder, the GPP (GeForce Partner Program) was an anti-competitive agreement signed between the chameleon and its partners, which was quickly abandoned as soon as the affair began to spread.

In short, it’s not impossible that the company will have to be more transparent in the future, especially if the brand attracts the attention of regulatory authorities… The company’s French premises have already been raided.