Friday, December 1st 2006
NVIDIA Receives Subpoena from U.S. Department of Justice
NVIDIA Corporation has received a subpoena from the San Francisco Office of the Antitrust Division of the U.S. Department of Justice (DOJ) in connection with the DOJ's investigation into potential antitrust violations related to graphics processing units and cards. No specific allegations have been made against NVIDIA. NVIDIA plans to cooperate with the DOJ in its investigation.
Source:
NVIDIA
18 Comments on NVIDIA Receives Subpoena from U.S. Department of Justice
The subpoenas are to investigate POSSIBLE price fixing on video chips/cards between the former ATI and Nvidia. Have you ever wonder WHY video cards sell for $500+ when they cost about $35 to make a top of the line Vid card? Well some folks believe that ATI and Nvidia while staunch competitors... may have manipulated the actual selling prices to maintain highly profitable sales. Since there are only two major players in the high-end PC enthusiast graphics market segment, the Feds wanna be certain no hanky panky is going on like the dishonest deals that the SDRAM makers agreed to so they could fleece consumers.
Now look at the price.
I really hope that they have good reasons for charging that much then, and so little now. If they don't perhaps they both (ATI, Nvidia) are doomed.
Prices are very high for no reason.
They def. make a nice profit from high end users.
There are other reasons how anti-trust investigation can come about.link
Most, if not all PC parts are priced way too high...
Man, dunno how this will affect the future of both companies, I smell a big lawsuit heading right into Ati and nVidia way in a very near future by one of those patent mongering companies :(