China’s SAMR Claims NVIDIA Violated Antitrust Rules Over Mellanox Deal — What We Know

China’s State Administration for Market Regulation (SAMR) has preliminarily found that NVIDIA violated Chinese antitrust laws in connection with its acquisition of Mellanox Technologies. The SAMR began an investigation in December and says the company breached national regulations and the conditional terms under which Beijing approved the $6.9 billion takeover. The probe is ongoing and no penalties have been announced.

Key points

• Preliminary finding: SAMR claims NVIDIA failed to meet conditions tied to its 2020 approval, including commitments on supply and fair, reasonable, non-discriminatory (FRAND) treatment of Chinese customers.
• Timing and geopolitics: Sources say Beijing delayed publicising the preliminary findings until recent US–China trade talks in Madrid, possibly to strengthen its negotiating position.
• H20 chips and tensions: Reports say Chinese buyers were discouraged from purchasing NVIDIA’s H20 AI chips pending a national security review. Media coverage quoted a US comment to CNBC about keeping the most advanced chips out of China to maintain an edge; this has added to the diplomatic sensitivity around exports.

Context and timeline

– 2019: NVIDIA and Mellanox announce the acquisition.
– April 2020: China conditionally approves the deal, requiring continued supplies and non-discriminatory terms.
– Dec 2024: SAMR opens an investigation (reported in preliminary findings in 2025); SAMR’s public statement followed later during US–China talks.

What this could mean

If SAMR proceeds with enforcement, NVIDIA could face regulatory sanctions in China or greater operational constraints on sales and supply to Chinese customers. The case also highlights how commercial M&A and export-policy issues are increasingly intertwined with broader US–China strategic competition over semiconductors.

Sources

• TechCrunch: China says NVIDIA violated antitrust regulations
• Fox Business: China says NVIDIA violated antitrust law
• Engadget: China says NVIDIA’s Mellanox acquisition violated antitrust law

Note on sourcing: Some articles cite comments reported on CNBC about limiting sales of NVIDIA’s most advanced chips to China; attribution in source excerpts may vary. I did not find a verified listing for NVIDIA’s H20 chips on Amazon US.

Discussion prompt: How do you think regulators should balance national security concerns with cross-border M&A and technology trade? Share your thoughts below.