Shares of Nvidia plunged as much as 10.1 percent to $107.29, closing down $11.37, or 9.5 percent, at $52.1 billion, Bloomberg said after the market closed, nvidia was subpoenaed by the DOJ to step up antitrust investigations, and Nvidia responded that clients could choose any of the best solutions.
Nvidia was down a further 2 per cent at $105.77 in extended trading. Nvidia’s market capitalisation fell $278.9 bn to $2,650 bn in a single day, down $690BN from the year’s peak of $3,340 bn.
However, confidence in technology stocks is also weak, with antitrust investigations only one downside. Google is also down 4% , Broadcom is down 6% and AMD and micron are down 8% .
The report said the Justice Department had earlier sent a questionnaire to Nvidia and was now sending a legally binding request for information, one step closer to a formal government prosecution. Antitrust officials are concerned that Nvidia has made it harder for buyers to choose other AI chip makers, and that it has not focused on buyers of Nvidia chips.
Bloomberg also reported in June that investigators had been contacting other technology companies to gather information.