Jim Cramer, the host of “Mad Money,” suggests that NVIDIA Corporation (NASDAQ: NVDA) could potentially become the target of an antitrust lawsuit from either the U.S. Department of Justice (DOJ) or the Federal Trade Commission (FTC).
Cramer’s remarks come in the wake of reports indicating the DOJ’s scrutiny of Apple Inc. (NASDAQ: AAPL) for alleged antitrust violations.
Taking to social media platform X, Cramer made a snide remark suggesting that given the current regulatory climate, both the DOJ and the FTC might pursue NVIDIA as a monopolist, mirroring the scrutiny faced by Apple.
In his words,
“Believe me, between this Justice Department and FTC, they would go after Nvidia as a monopolist.”
The DOJ has reportedly sued Apple, accusing the tech giant of violating antitrust laws by restricting competitors’ access to iPhone’s hardware and software features.
The current case was initiated by the DOJ in 2019, during the administration of former President Donald Trump. However, it took a back seat as the DOJ prioritized cases against other tech giants like Alphabet Inc.’s Google (NASDAQ: GOOG). Epic Games pursued legal action against Apple for monopolization in 2020.
Meanwhile, the FTC has demonstrated a strong stance against anticompetitive practices in the tech industry. In 2023, the FTC sued to block Microsoft Corp.’s (NASDAQ: MSFT) acquisition of video game maker Activision Blizzard, citing concerns that the deal would harm consumer choice and competition. The legal battle saw top executives, including Microsoft CEO Satya Nadella and Activision Blizzard CEO Bobby Kotick, appearing in court to defend the proposed acquisition.
NVIDIA (NASDAQ: NVDA) Stock Reaction
NVDA stock increased 1.18% to close at $914.35 on Thursday. The traders had exchanged hands with 47,804,878 (47.80 million) shares compared to the average daily trading volume of 51.55 million.
