Nvidia has launched an independent investigation into its founder and chief executive, Jensen Huang, amid concerns that he may have been the target of a foreign intelligence operation. The decision was made by the board of directors following reports and alerts from U.S. officials.
The investigation will be led by a committee of independent directors, assisted by outside attorneys. In a statement, Nvidia said it had “no reason to believe” that U.S. national security or company secrets had been compromised, but that all available information would be reviewed. The company confirmed that Huang supports the investigation and will cooperate.
The case is connected to Huang’s contacts with Alice Huang, chief executive of Singapore-based Megaspeed. The two are not related. In a letter, three chairmen of influential committees in the House of Representatives asked Jensen Huang to take part in a closed-door briefing about his relationship with her and Nvidia’s protection against espionage by foreign countries.
The letter said that Alice Huang had been publicly described as an asset of the intelligence services of the People’s Republic of China. U.S. officials have expressed concerns about Beijing’s access to sensitive technologies from the United States. These claims are still under review and do not constitute an established fact that a crime was committed.
Nvidia previously said that Huang’s meetings with customers were “a normal part of a chief executive’s job” and that concerns over the illegal diversion of chips had been disproven last year. The company added that Huang speaks with thousands of customer executives each year.
Huang admits to an extramarital affair
In a separate message to Nvidia employees, Huang admitted that he had been unfaithful to his wife and that his actions had hurt her and their children. “I take full responsibility for what I did and for the pain I caused,” he wrote.
Huang said he supports the board’s investigation and has committed to protecting Nvidia and U.S. national security. A company spokesperson told CNN that the situation would not slow Nvidia’s operations and that Huang would continue to serve as its chief executive.
Pressure from Congress and investors
President Donald Trump said he had not spoken with Huang about the case, but described him as a “good man” and added that he probably had an explanation. Secretary of State Marco Rubio declined to comment on the situation.
Nvidia is a leading manufacturer of artificial intelligence chips and has a market capitalization of around $4.5 trillion. Analyst Dan Ives described the case as a serious blow to Huang and warned that it could lead to new congressional investigations and additional pressure on the company’s shares. The next step is the hearing before the House committees and the board’s independent investigation.
Sources: edition.cnn.com, apnews.com, investing.com