Nvidia closes $700 million Run:ai acquisition after regulatory hurdles By Reuters

(Reuters) – Chipmaker Nvidia ( NASDAQ: ) has completed its acquisition of Israeli AI company Run:ai, the startup said on Monday, following antitrust scrutiny over the purchase.

The European Commission unconditionally approved Nvidia’s $700 million bid for Run:ai, which helps developers optimize infrastructure for AI, in early December after announcing in October that the deal required EU antitrust clearance.

The EU’s antitrust watchdog warned that the deal would threaten competition in the markets where the companies operate.

The investigation into the deal focused on practices that could strengthen Nvidia’s control over the market for graphics processing units (GPUs), the in-demand chips often used in AI-related tasks.

Nvidia dominates the AI ​​graphics processor market with about 80% of the market share.

However, the European Commission concluded earlier in December that the acquisition of Run:ai, originally announced in April, would not raise competition concerns.

The US Justice Department is also investigating the chip giant’s purchase of Run:ai on antitrust grounds, Politico reported in August.

Regulators on both sides of the Atlantic have recently cracked down on startup acquisitions by tech giants, concerned that such deals could shut out potential rivals.

Run:ai plans to make its software open source, according to a blog post.

“Although Run:ai currently only supports Nvidia GPUs, open sourcing the software will enable it to expand its reach to the entire AI ecosystem,” the release said.