Nvidia and ATI (the latter owned by AMD) have been under investigation for nearly two years by the US Department of Justice for alleged anti-trust violations. Now News.com is reporting that the DOJ has informed both companies that it has closed their probe and that no action will be taken.

Both companies pretty much dominate the stand alone PC graphics chip business and the DOJ began its investigation in December 2006. ATI was bought by AMD a couple of months before the probe began. While this investigation is over, both companies are still dealing with a class action lawsuit claiming ATI and Nvidia participated in price fixing on their products. Recently Nvidia proposed a settlement to the lawsuit which has yet to be approved by a judge.