Nvidia board opens probe into CEO Jensen Huang's China ties
The chipmaker will examine whether an extramarital affair with a Chinese intelligence operative compromised national security or company secrets.
By Chinedu Schneider ·
Nvidia’s board of directors launched an independent investigation on Monday. The review will determine if a foreign intelligence effort compromised the company or U.S. national security.
The inquiry follows news reports that CEO Jensen Huang, who was raised in Oregon, engaged in an extramarital relationship with a Chinese businesswoman. The New York Times and the Financial Times reported that the woman was recruited as an intelligence operative for the Chinese government.
In a statement, the board said it prioritizes U.S. national and economic security. The company noted it has no current reason to believe national security or Nvidia secrets were breached. However, the inquiry will examine all available information.
Nvidia is a major competitor to Intel and is based in California. The company maintains offices in Washington County, Oregon, where Huang grew up. Huang was born in Taiwan and moved to Oregon as a child in the 1970s. He graduated early from Aloha High School at age 16 and attended Oregon State University. He founded Nvidia in Beaverton in 1993.
Under Huang’s leadership, Nvidia grew from a graphics processor developer into the world’s leading provider of artificial intelligence chips. The company controls about 75 percent of the global AI accelerator market. Nvidia is the second-largest publicly traded company by value, worth approximately $4.3 trillion.
The New York Times reported that the U.S. government was investigating whether Nvidia shared advanced chip technology with a Chinese firm called Megaspeed. The report cited a close relationship between Huang and Megaspeed executive Alice Huang, who is not related to the CEO.
Huang wrote to employees this week to address the situation. He stated that apologies could not fix what he had done. He told colleagues that he has fallen short of his responsibility to serve the company. He said he is fully committed to Nvidia and will work to earn back their confidence.
The board confirmed that Huang will continue to lead the company during the investigation. He received the National Medal of Science last month.
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