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According to AnewZ, Nvidia has begun an independent investigation to determine whether CEO Jensen Huang was targeted by a foreign intelligence operation. The decision followed allegations that a businesswoman with whom Huang had a relationship passed information to Beijing.
The company announced the investigation on Sunday, November 8. Its board said there was no basis to believe U.S. national security or Nvidia’s confidential information had been harmed. Huang admitted to being unfaithful to his wife, apologized to his family and promised to cooperate with the investigation.
The announcement has raised questions about Huang, who leads the world’s largest artificial intelligence chipmaker by market value. Nvidia shares fell about 3.4% in unofficial trading on Monday. Shares in the company’s semiconductor suppliers in Asia rose after a technology-sector sell-off the previous week.
Allegations prompting the investigation
The review began after The New York Times reported in October that Huang had been in a relationship with Alice Huang, a former executive of Singapore-based Megaspeed who is not related to him.
The newspaper reported that U.S. officials investigated Alice Huang and concluded that she was an agent of Chinese intelligence. Reuters has not independently verified that assessment. The New York Times also reported that Donald Trump had been briefed on intelligence about the matter about a year earlier and decided not to take action.
Megaspeed, which buys Nvidia’s AI chips, has also drawn the attention of the United States. The company is suspected of helping obtain advanced semiconductors subject to U.S. export restrictions to China.
The allegations do not establish that Jensen Huang knowingly shared confidential information or took part in espionage. Nvidia said an independent committee of directors would oversee the investigation, with support from outside counsel.
The company stressed that its board continued to support Huang and his leadership team, and that he would remain in his role during the investigation. China’s Ministry of Foreign Affairs did not immediately respond to a Reuters request for comment. Megaspeed also did not respond to inquiries.
Statements from Huang and U.S. officials
In a message to Nvidia employees on Sunday, Huang admitted to being unfaithful to his wife and said he regretted the impact on his family.
“My actions hurt my wife and our children. There is no excuse for what I did. I deeply regret it,” Huang said.
He also apologized to colleagues, board members, business partners and shareholders, acknowledging that he had failed to live up to their trust.
Huang said he was committed to Nvidia and protecting U.S. national security. In late October, he told Bloomberg News that his communications with Alice Huang concerned Megaspeed and took place within the bounds of ordinary business dealings. He has not publicly admitted to knowingly passing confidential information to a foreign intelligence service.
U.S. President Donald Trump said on Sunday that he had not discussed the allegations with Huang but trusted the Nvidia chief.
“I hope everything is OK. He’s done an incredible job,” Trump told reporters.
Asked about reports that he had previously received intelligence about Huang, Trump said he did not believe he necessarily had to act on the information. U.S. Secretary of State Marco Rubio declined to comment on a question about Huang.
The allegations have also drawn the attention of Congress. Senior Republican lawmakers have asked Huang to brief Congress this month, citing the potential risk to sensitive U.S. technology and information from possible Chinese access. A letter dated November 4 called for an investigation into whether U.S. national security had been put at risk.
Impact on shares and the company’s operations in Asia
The investigation comes as Nvidia shares face pressure amid concerns about returns on major investments in AI infrastructure. According to Reuters, the company’s shares have given up their gains for the year as investors reassess whether spending growth in the AI sector can be sustained.
Huang co-founded Nvidia and has led the company for more than three decades. He has played a central role in turning it into a leading supplier of advanced AI chips. Analysts say uncertainty over his leadership could affect investor confidence, although the investigation has not resulted in any announced change to his position.
Dan Ives, a partner and managing director at Yorkville Ives & Co., said the investigation could pose a potential risk to Huang’s future as CEO. Chris Weston, head of research at Pepperstone, said he did not expect Huang to be replaced.
Nvidia shares traded at about $180.30 on alternative trading platforms on Monday. The stock closed at $186.64 on the Nasdaq on Friday.
The investigation is expected to review available information about the alleged intelligence operation and determine whether Nvidia’s confidential information or U.S. national security interests were harmed.
The scandal has also affected the company’s activities in Asia. Jensen Huang’s daughter and Nvidia executive Madison Huang canceled a planned trip to South Korea. She had been due to meet technology companies during an Nvidia conference.
South Korean AI startup Rebellions linked the cancellations to the situation at Nvidia. The conference was still expected to go ahead. South Korea’s vice minister for science said the government did not expect disruption to the contracted supply of Nvidia graphics processors.
The company says there is currently no basis to believe confidential information was obtained. No investigation findings confirming that Jensen Huang committed wrongdoing have been announced.
