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Nvidia CEO Jensen Huang Steps Down Amid Probe of Alleged Chinese Spy Ties

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19

Why it matters

Nvidia's board announced Thursday that co-founder Jensen Huang is stepping down as CEO. The move follows reporting that a Chinese businesswoman, Alice Huang (no relation), was recruited to gather intelligence for Beijing and that Jensen Huang had a relationship with her. In a memo to staff, Huang admitted to cheating on his wife and said he would cooperate with the investigation. A second report alleges he also had an affair with a Nvidia executive who reported to him. The story began with New York Times reporting in late October that Huang had a close relationship with a Chinese woman linked to a Singapore-based company that bought nearly $5 billion in Nvidia chip technology. She was seen with him at industry events in Taiwan, including a dinner he hosted during Computex in 2025. After the memo on Sunday, November 8, Nvidia shares fell 4.3% Monday, erasing nearly $200 billion in market value. The board formed a committee of independent directors, with outside counsel, to determine whether Huang was targeted for foreign intelligence. China's foreign ministry calls the spying allegations baseless and a smear campaign.

No criminal charges against either Huang have been reported. The scope of the second affair report, including the executive's identity and role, is not yet public, and the committee has not released findings or a timeline. The reporting does not establish whether Alice Huang obtained any sensitive information or what she did with it.

The scandal adds to long-running scrutiny of Huang's influence. He is widely seen as a close adviser to President Trump on AI and has repeatedly pushed to loosen chip sales restrictions to China. In 2025, senators from both parties warned him against meeting Chinese firms helping Beijing evade U.S. export controls, and Chinese regulators questioned Nvidia over alleged "backdoor" risks in its H20 chips. Trump has publicly defended Huang as an "honourable guy." Republican lawmakers have asked Huang to testify before Congress on November 18, arguing that Nvidia's board "owe[s] Congress answers" about possible Chinese access to sensitive U.S. technology. Attorneys advising AI chip companies or clients with China exposure should watch the committee's findings, the November 18 hearing, and any export-control or national security action that follows.

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