Nvidia-Groq licensing deal is a ‘less clear’ problem for FTC

00:00 Speaker A

All right, so smart to get in there. You’ve laid out the strategic rationale. Is there regulatory risk for Nvidia with this deal? Is there FTC risk?

00:06 Cory

Right. Hell, yeah. This is a huge risk. It’s why they structured the deal this way, one would think, because the biggest company in the world with 95% market share in the GPU market, going out and buying maybe their biggest competitor in the future, not AMD, not Intel, uh, not Huawei, right? But this this Groq company has a very uh different approach to doing this. And and to be sure,

00:46 Cory

I’ve invested in a company called Positron AI that is in some ways a competitor to Groq and has some former Groq employees. Um, so I’ve got some conflict here. I want to make sure all the viewers know what I’m talking and why I’m, you know, hedging my bets here. But, um, I think that, you know, what’s interesting here is that if this were a clear acquisition, it would be a clear problem with the FTC.

01:14 Cory

This is a less clear problem except that the FTC has already gone out there and done some investigations of similar kinds of deals at Google and Microsoft and others uh as it relates to AI and chips. So, the FTC is going to take notice of this and notice of the the uh uh nimble yoga that Jensen Wong is doing in in putting this deal together uh in a way that might avoid a Hart Scott Rodino review but might not after all. Now, with a Trump FTC and with a with…