In what may be described as an attempt to sabotage her own election odds, moments after the close Bloomberg reported that Kamala Harris’ Justice Department – because let’s be honest, Joe Biden is officially a vegetable – sent subpoenas to Nvidia and other companies as it seeks evidence that the chipmaker violated antitrust laws, an escalation of its investigation into the dominant provider of AI processors, in the process sending the stock prices sliding even more.
The DOJ, which had previously delivered questionnaires to companies, is now sending legally binding requests that oblige recipients to provide information, Bloomberg reported citing sources. That takes the government a step closer to launching a formal complaint against a company, which may well have its flaws but monopolizing the industry, when its competitors such as Intel are simply criminally incompetent, is not one of them.
According to antitrust officials, Nvidia is making it harder to switch to other suppliers and penalizes buyers that don’t exclusively use its artificial intelligence chips. Which is idiocy: if anything, it is the capabilities of Nvidia chips that are forcing every tom, dick and harry to order one even if the chatGPT idiocy is nowhere near the paradigm shifting discovery idiots on TV make it seem to be. Meanwhile, all Nvidia is doing is sitting back and capitalizing by selling the “picks and shovels” to those same idiots who in about a year will realize that they spent millions on chips to power chatbots that generate zero returns.
Nvidia shares, which already suffered a record-setting rout on Tuesday when they lost a historic $280 billion in market cap, fell further in late trading after Bloomberg reported on the subpoenas, bringing its total drop today to $340 billion!
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— Read More: www.zerohedge.com
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