Regulators Are Investigating Nvidia's Licensing Deal With Groq

The Justice Department is investigating whether Nvidia's December 2025 licensing deal with AI chipmaker Groq was structured to evade antitrust review. The deal gave Nvidia access to Groq's custom AI inference chips, and Groq's CEO Jonathan Ross and COO Sunny Madra joined Nvidia as part of the arrangement. DOJ opened the investigation shortly after the deal was announced and has issued Nvidia a formal information demand. The case reflects broader regulatory concern that AI companies are using licensing and talent acquisition deals to consolidate power while bypassing the automatic government reviews triggered by traditional mergers. If violations are found, Nvidia faces potential fines, though regulators are unlikely to unwind the deal itself.