Nvidia Corp. NVDA may be at risk of facing an antitrust lawsuit brought forth by the U.S. Department of Justice or Federal Trade Commission, as suggested by renowned TV personality Jim Cramer.
Recent Developments: Cramer’s prediction emerged in the wake of reports indicating the Department of Justice (DOJ) directing its legal attack towards Apple Inc. AAPL over alleged antitrust transgressions.
In a scathing commentary, Cramer hinted that the current legal environment could cast Nvidia as the next monopolistic entity in regulators’ crosshairs.
Despite multiple attempts, Nvidia has refrained from providing any immediate comments regarding these speculations circulating in the investing world.
The DOJ reportedly readies itself to file a lawsuit against Apple, alleging the technology behemoth’s violation of antitrust statutes by limiting rival access to iPhone technologies.
This ongoing legal saga dates back to 2019, having its roots in Donald Trump’s tenure as President of the United States.
Moreover, amidst the legal showdown, the antitrust division opted to prioritize litigations against Alphabet Inc.’s Google, marginally delaying actions against Apple as Epic Games launched its own legal assault on Apple for alleged monopolistic practices in 2020.
Notable Mention: A forthcoming DOJ lawsuit accuses Apple of unlawfully perpetuating its dominance in the realm of iPhones.
Significance: The U.S. Federal Trade Commission (FTC) has previously taken a firm stance against anticompetitive behaviors within the tech sector.
In 2023, the FTC thwarted Microsoft Corp.’s acquisition of gaming giant Activision Blizzard, arguing that such a deal could harm both consumer choice and market competition.
Top-tier executives, including Microsoft’s CEO Satya Nadella, Xbox head Phil Spencer, and the then-CEO of Activision Blizzard Bobby Kotick, stepped into the legal arena to defend the merger.
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Important Note: Certain portions of this report were created in collaboration with Benzinga Neuro and have been vetted and authorized by the Benzinga editorial team.
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