Nvidia shares fell around 5% in premarket trading on Monday after reports emerged about CEO Jensen Huang’s relationship with a businesswoman accused by US intelligence agencies of passing information to Beijing. The stock was last trading 4.8% lower in premarket trading .
Nvidia’s board of directors has launched an independent investigation to examine whether Jensen Huang was the target of a foreign intelligence operation. The New York Times reported last month that Alice Huang had developed a close personal relationship with Nvidia CEO Jensen Huang. Alice Huang had also not responded to The New York Times when it first reported her alleged relationship with Jensen Huang. Nvidia confirmed that Jensen Huang supports the investigation and has agreed to cooperate with the committee. The company has not announced a final finding from the probe. The independent committee will review the information available to determine what happened and whether the reported foreign intelligence effort affected Nvidia, its business or any sensitive information.
The controversy centres on reports that Jensen Huang had a close personal relationship with Alice Huang, who US authorities investigated and reportedly identified as a Chinese intelligence asset. The two are not related. The growth of generative AI following ChatGPT’s launch created huge demand for powerful processors that can train and run AI models. Nvidia was well positioned to benefit from this demand. Its chips have become important to some of the world’s biggest technology companies. Alice Huang is a Chinese citizen who was associated with Singapore-based cloud computing company Megaspeed. The report also alleged that she passed information directly to Beijing. However the allegations are not independently verified. Megaspeed provides cloud computing services and is also an Nvidia customer. The company has come under US scrutiny over concerns about its possible role in helping China access advanced AI chips. It offers Nvidia’s GB200 NVL72 and HGX H100 chips through its services. US authorities have investigated Megaspeed over suspicions that it helped Beijing gain access to Nvidia’s advanced AI processors. These chips are subject to US export restrictions that prevent their shipment to China.
Nvidia’s valuation increased from around $420 billion in late 2022 to approximately $4.5 trillion as of November 6, 2026.
US intelligence agencies believe Alice Huang, an executive associated with Singapore-based cloud computing company Megaspeed, passed information to the Chinese government, according to reports by The New York Times and The Financial Times. She was previously an executive at the company, according to news reports. US authorities investigated Alice Huang and concluded that she was a Chinese intelligence asset, according to The New York Times report. Megaspeed is an Nvidia Cloud Partner in the Asia-Pacific region, according to its website. Reuters said it could not establish her location to seek comment. Reuters said it could not independently verify whether Alice Huang is currently employed by Megaspeed.
The company announced the decision in a statement on Sunday. Megaspeed did not immediately respond to Reuters’ request for comment on Monday, which was a public holiday in Singapore.
Its chips were already being used for AI computing when ChatGPT was launched in late 2022. Jensen Huang met his wife, Lori Huang, while studying engineering. The couple have been married for decades and have two children. Their daughter, Madison Huang, is a senior director of product and technical marketing for physical AI platforms at Nvidia. Their son, Spencer Huang, manages robotics software products at the company. Nvidia designs chips that power several major technology industries, including video games, self-driving cars, cloud computing and artificial intelligence. Under Huang’s leadership, Nvidia invested heavily in artificial intelligence technology.
In an email to employees, Huang admitted that he had been unfaithful to his wife, Lori Huang. However, the company has decided to conduct an independent investigation to examine the available information, as noted by Reuters. Investors are already questioning whether the massive growth in artificial intelligence spending can continue at the same pace. The investigation has added another concern for the company and raised questions about the leadership of the CEO who has been closely associated with its success. The committee will receive assistance from independent external legal counsel while examining the available information and circumstances surrounding the allegations.
Nvidia said Huang fully supports the board’s investigation and has committed to cooperating with the review. The company said an independent committee of directors would examine all available information. He said his actions had hurt his wife and children and accepted responsibility for them. The Nvidia CEO told employees that he had “fallen short” of his responsibility towards his colleagues, the board, business partners and shareholders around the world. He also apologised for his actions and said there was no excuse for his behaviour. He described the “so-called Chinese spy narrative” as unsubstantiated, according to Reuters. Nvidia has said its board has “no reason to believe” that US national security or company secrets were affected. Nvidia said an independent committee of directors will supervise the investigation into whether Jensen Huang was targeted by a foreign intelligence operation.
China’s Foreign Ministry spokesperson Guo Jiakun rejected the allegations on Monday.
Huang, 63, started Nvidia in 1993 along with Chris Malachowsky and Curtis Priem. Washington has imposed restrictions on exports of advanced artificial intelligence chips to China since 2022. He has served as the company’s CEO since its founding, making him one of the longest-serving founder CEOs in Silicon Valley. Born in Taiwan, Huang later moved to the United States, where he grew up. He became one of the most influential business leaders in the technology industry through his work at Nvidia. Under Huang’s leadership, Nvidia changed from a company mainly known for making graphics chips for video games into the world’s leading supplier of artificial intelligence processors. Huang is known for wearing black leather jackets at major company events and product launches. His public appearances and product announcements have made him one of the most recognisable faces in the global technology industry. Nvidia’s advanced AI processors are important to the global artificial intelligence industry. This has made the company a major part of the technology competition between the United States and China. The restrictions are aimed at limiting China’s access to powerful computing technology. The investigation into Megaspeed and Alice Huang has raised concerns about whether information or access connected to Nvidia could have been used to help Beijing obtain restricted technology. Senior Republican lawmakers in the US House of Representatives have sought briefings from Jensen Huang following The New York Times report. They cited concerns related to national security and the allegations involving a possible Chinese intelligence operation.
