Nvidia (NVDA.US) may face an antitrust review by the U.S. Department of Justice, causing the stock price to fluctuate.

According to reports, Nvidia (NVDA.US) is facing scrutiny from the US Department of Justice over its proposed acquisition of startup Run:ai, which could raise antitrust concerns. The US Department of Justice is also reportedly investigating Nvidia's business practices, given the company's dominant position in the high-end artificial intelligence (AI) chip market, which could give it too much power in the AI space and raise antitrust concerns.

Nvidia announced plans to acquire Israeli startup Run:ai in April this year. Run:ai reduces the amount of GPU needed to complete tasks by running multiple workloads concurrently, making AI chips more efficient.

Nvidia said it would provide any information regulators may need.

A spokesperson said: "We continue to support ambitious innovators in every industry and market and are willing to provide any information regulators may need."

The spokesperson added: "Nvidia's strength is reflected in our benchmark test results and value to customers. Our competition is based on decades of investment and innovation, and we strictly adhere to all laws to provide Nvidia's open services to every business in the cloud and on-premises, and ensure customers have the option to choose the best solution for them."

Nvidia shares fell sharply last week after reports that the $700m acquisition of Run:ai was put on hold due to a lengthy antitrust review.

In the same month Nvidia announced its acquisition of Run:ai, the company also acquired another Israeli startup, Deci, which is focused on improving AI models to improve efficiency.

On July 23, the US International Trade Commission, the US Department of Justice, the antitrust division and European regulators issued a joint statement on competition issues related to generative AI foundational models and products.

The US International Trade Commission said in the statement: "All four antitrust enforcement agencies in the joint statement commit to remain vigilant to potential competition concerns and are determined to use their existing authorities to prevent strategies that may undermine fair competition or result in unfair or fraudulent practices in the AI ecosystem."

Nvidia shares have been volatile this week, according to reports. Matt Maley, chief market strategist at Miller Tabak+Co., said the volatility in Nvidia shares reflected uncertainty among investors about the future of tech stocks, who were both concerned about the large investments in AI by tech giants not being matched by returns and worried about missing out on the tech rally.

Nvidia shares fell 6.67% to close at $109.21 on Thursday.