Nvidia has shot down rumors that it got a subpoena from the Department of Justice (DOJ) over antitrust concerns.
On Wednesday, the company clarified the situation after Bloomberg reported the tech giant had been pulled into a DOJ investigation. A company representative said:
“We have inquired with the U.S. Department of Justice and have not been subpoenaed. Nonetheless, we are happy to answer any questions regulators may have about our business.”
The Bloomberg report caused Nvidia’s stock to tumble in after-hours trading after an almost 10% decline during the regular trading session.
The report didn’t specify why the DOJ might be interested in Nvidia, but it said that the company’s dominant position in the AI chip market could be a factor.
Nvidia has been leading in this area, especially in data center AI chips, far ahead of competitors like AMD and Intel, which have only recently begun to catch up. According to industry estimates, Nvidia controls more than 80% of this market.
In its denial, Nvidia reiterated its commitment to transparency, emphasizing that it “wins on merit,” as reflected in its performance benchmarks and customer satisfaction.
While Nvidia insists it hasn’t received a subpoena, Bloomberg’s follow-up on Wednesday evening quoted an anonymous source claiming that the DOJ had indeed issued a civil investigative demand to Nvidia.
This kind of demand is less formal than a subpoena but still requires the company to provide certain documents or information. The specific focus of the DOJ’s interest wasn’t detailed, but reports say that the department’s lawyers are also looking into Nvidia’s recent acquisition of Run:ai.
The company reported record quarterly revenue of $30 billion for Q2 fiscal 2025, up 122% year-over-year. This was driven by strong demand for their data center chips, with data center revenue reaching a record $26.3 billion, up 154% from a year ago.
Gaming revenue was also up, reaching $2.9 billion, a 16% increase year-over-year. Nvidia announced new RTX and DLSS gaming titles and technologies like ACE for digital humans and Project G-Assist for AI-powered gamer assistance.
For the quarter, GAAP EPS was $0.67, up 168% from a year ago. Non-GAAP EPS was $0.68, up 152%. Nvidia returned $15.4 billion to shareholders through buybacks and dividends in the first half of fiscal 2025.
