Quick access to main page (top) Direct access to main contents Quick access to main page (bottom)

Lawsuit Against NVIDIA CEO Sent to the Supreme Court

Daniel Kim Views  

fnnews

The U.S. Supreme Court has decided to hear a lawsuit appealed by NVIDIA this October. NVIDIA, a major beneficiary of the artificial intelligence (AI) boom, appealed a class-action lawsuit brought by shareholders.

On the 17, CNBC reported that the U.S. Supreme Court has accepted NVIDIA’s appeal against a class-action lawsuit filed by shareholders against NVIDIA’s CEO Jensen Huang, and NVIDIA.

This lawsuit was led by investment management company E. Öhman J:or Fonder AB, headquartered in Stockholm, Sweden. The lawsuit seeks financial damages from NVIDIA.

The investment management company filed a lawsuit against NVIDIA and the company’s senior executives, claiming that NVIDIA had violated securities trading laws by falsely disclosing that a significant portion of its revenue in 2017 and 2018 came from the purchase of cryptocurrency.

U.S. District Judge Haywood Gilliam Jr. dismissed this lawsuit in 2021. However, the 9th U.S. Circuit Court of Appeals, located in San Francisco, issued a decision allowing the lawsuit. The appellate court allowed the lawsuit, stating that Huang made intentionally misleading or potentially confusing statements.

NVIDIA immediately appealed to the Supreme Court, stating that the appellate court’s decision would encourage the abuse of speculative lawsuits. The Supreme Court is scheduled to hear NVIDIA’s lawsuit in October.

Previously, in 2022, NVIDIA agreed to pay $5.5 million to the U.S. Securities and Exchange Commission (SEC) on charges of not properly disclosing the impact of virtual asset mining on the gaming industry. At that time, NVIDIA neither admitted nor denied the allegations raised by the SEC, agreeing to pay $5.5 million.

Meanwhile, the Technology Sector SPDR Select Sector Fund (ticker symbol XLK), a representative exchange-traded fund (ETF) investing in S&P 500 technology companies in the U.S. stock market, has decided to increase its investment weight in NVIDIA from the previous 6% to 21% through regular asset rebalancing. This means purchasing more than $10 billion worth of Nvidia shares compared to the current amount.

fnnews
Daniel Kim
content@viewusglobal.com

Comments0

300

Comments0

[BUSINESS] Latest Stories

  • Honda's NSX Returns: A 1,000-Horsepower Electric Rival to Lexus LFR
  • Honda’s S7 Electric SUV: A Major Player in the Race for EV Dominance
  • Lamborghini's First EV: A 2,000-Horsepower Beast Built for Speed and Emotion
  • Ford Revives Classic Design with the 2025 Bronco Heritage Edition
  • ID.EVERY1: Volkswagen's $21K Electric Vehicle Aims to Make Green Driving Accessible
  • Toyota’s bZ3X SUV Surges with 10,000 Pre-Orders: A New Era in EVs

You May Also Like

  • 1
    New Drug Helps Patients with Myasthenia Gravis Breathe and Speak Easier

    LIFESTYLE 

  • 2
    Bristol-Myers’ Schizophrenia Drug Falls Short in Key Trial

    LIFESTYLE 

  • 3
    Novavax COVID Vaccine Still on Hold—More Trials Needed, Says FDA

    LIFESTYLE 

  • 4
    Want to Lower Your Blood Pressure? Eat More Bananas, Study Says

    LIFESTYLE 

  • 5
    Weekend Workouts Are Enough to Cut Diabetes Risk, Study Says

    LIFESTYLE 

Popular Now

  • 1
    Brushing Right After Eating Could Hurt Your Teeth—Here’s Why

    LIFESTYLE 

  • 2
    Early Bedtimes Could Help Teens Boost Brain Power, Study Finds

    LIFESTYLE 

  • 3
    Scientists Find a New Reason to Snack on Walnuts

    LIFESTYLE 

  • 4
    It’s Not Just How Long You Sleep—It’s How You Sleep That Matters

    LIFESTYLE 

  • 5
    Want to Live to 100? Start Eating Like They Do in the Blue Zones

    LIFESTYLE 

Must-Reads

  • 1
    New Drug Helps Patients with Myasthenia Gravis Breathe and Speak Easier

    LIFESTYLE 

  • 2
    Bristol-Myers’ Schizophrenia Drug Falls Short in Key Trial

    LIFESTYLE 

  • 3
    Novavax COVID Vaccine Still on Hold—More Trials Needed, Says FDA

    LIFESTYLE 

  • 4
    Want to Lower Your Blood Pressure? Eat More Bananas, Study Says

    LIFESTYLE 

  • 5
    Weekend Workouts Are Enough to Cut Diabetes Risk, Study Says

    LIFESTYLE 

Popular Now

  • 1
    Brushing Right After Eating Could Hurt Your Teeth—Here’s Why

    LIFESTYLE 

  • 2
    Early Bedtimes Could Help Teens Boost Brain Power, Study Finds

    LIFESTYLE 

  • 3
    Scientists Find a New Reason to Snack on Walnuts

    LIFESTYLE 

  • 4
    It’s Not Just How Long You Sleep—It’s How You Sleep That Matters

    LIFESTYLE 

  • 5
    Want to Live to 100? Start Eating Like They Do in the Blue Zones

    LIFESTYLE 

Share it on...