Nvidia board opens independent investigation into CEO Jensen Huang

Nvidia's board of directors said Sunday that it is opening an independent investigation after CEO Jensen Huang was targeted by a foreign intelligence effort. The announcement followed reporting by The New York Times and the Financial Times about Huang's relationship with Alice Huang, a Chinese businesswoman who the newspapers reported had been recruited to spy for China. The two are not related.

A person familiar with the matter told NBC News that U.S. intelligence agencies had determined that Alice Huang was a Chinese spy and had a relationship with Nvidia's Jensen Huang. The New York Times and the Financial Times reported that Alice Huang, a Chinese citizen whose Singapore-based company was buying Nvidia's advanced chips, had been under surveillance by U.S. intelligence agencies. Those agencies, the reports said, found that she had been recruited to spy by China's top intelligence agency.

In a statement, Nvidia said: "The NVIDIA Board is initiating an independent investigation in light of recent reporting that founder and CEO Jensen Huang has been the target of a foreign intelligence effort." The company added that a committee of independent directors, assisted by outside independent counsel, will oversee the investigation. Nvidia also said it "has no reason to believe that either national security or NVIDIA secrets were compromised, the Board's inquiry will examine all available information."

In a memo to Nvidia employees, Huang said: "I was unfaithful to my wife. My actions hurt her and our children. There is no excuse for what I did." He also wrote: "To my colleagues at NVIDIA, including those I have worked alongside for decades, and to our board, partners, and shareholders around the world: you deserve better from me. Leading NVIDIA is the privilege of my life. My responsibility is to serve you and be worthy of your trust. I have fallen short of that responsibility. I am fully committed to NVIDIA and will work to earn back your confidence."

Nvidia shares fell more than 4% on Monday, closing at $178.67. The stock was trading 1.8% higher in premarket trading on Tuesday, according to CNBC. Nvidia shares closed more than 4% lower on Monday, the day after Huang told staff in an email that he had been "unfaithful" to his wife and had "fallen short" of his responsibilities as CEO.

U.S. President Donald Trump said Monday that the FBI is investigating. Trump told reporters at the White House: "We'll look into it. I know the FBI is looking into it in terms of something else, and I think that he'll be in good shape."

Chinese Foreign Ministry Spokesperson Guo Jiakun said Monday that "the so-called Chinese spy allegation is unsubstantiated. It is nothing but smears against China."

Secretary of State Marco Rubio said Sunday to reporters in Florida: "I just can't comment because of the nature of it, and I also can't comment on an internal corporate matter that's going on with Nvidia."

On Friday, the FT reported that the U.S. government believed Jensen Huang had a romantic relationship with Alice Huang. In response to the article, the FT reported that Nvidia declined to comment and said Jensen Huang meets "thousands of customer executives every year," as any CEO normally does. Huang previously defended his interactions with Alice Huang, describing them as business-related in a recent statement: "Our relationship, our interactions, have been related to Megaspeed, and it was all completely normal and not unusual."

Before Sunday's announcement, Nvidia and Huang were already facing congressional scrutiny over the reports about Megaspeed and its executive. On Thursday, top House Republicans requested a briefing from Huang about the reports. Rep. John Moolenaar, R-Mich., chairman of the House Select Committee on China, said: "Recent reports raise significant national security concerns regarding the PRC's access to sensitive U.S. technology and information."

Sources

This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.