Nvidia CEO Jensen Huang Resigns Amid Controversy Over Reported Affairs and Espionage Concerns
9 hours ago
Nvidia CEO Jensen Huang has resigned from the artificial intelligence chip giant he co-founded more than three decades ago, following mounting scrutiny over reported extramarital affairs and allegations involving a suspected Chinese intelligence operative.
The company announced Thursday that Huang, 63, stepped down as president, chief executive officer and a member of its board of directors, effective immediately.
Nvidia Chief Financial Officer Colette Kress has been named interim CEO while the company searches for a permanent replacement. Kress will continue serving as CFO during the transition.
The company also appointed former Synopsys CEO Harvey Jones as its first-ever board chairman.
Huang's departure follows reports that he had an affair with Alice Huang, a Chinese businesswoman and former executive at Singapore-based cloud company Megaspeed. U.S. authorities reportedly suspect Alice Huang of working on behalf of Chinese intelligence, an allegation Beijing has denied.
Nvidia's board previously launched an independent investigation into whether Huang had been targeted by a foreign intelligence operation.
The controversy intensified Wednesday when The New York Times reported that Huang also had an extramarital affair with Kimberly Powell, a senior Nvidia executive who reported directly to him.
According to Reuters, Nvidia's board met Wednesday to discuss Huang's future before announcing his resignation Thursday morning.
The leadership shakeup sent Nvidia shares tumbling more than 12 percent in early trading, threatening to erase approximately $500 billion in market value.
Huang co-founded Nvidia in 1993 and helped transform the company from a graphics chip manufacturer into a dominant force in artificial intelligence. Under his leadership, Nvidia became one of the world's most valuable companies, with a market valuation of approximately $4 trillion.
His departure raises questions about the company's future leadership and its role in the global AI industry, particularly as Washington continues debating restrictions on advanced semiconductor exports to China.
Nvidia says it will consider both internal and external candidates as it searches for a permanent CEO.
The company announced Thursday that Huang, 63, stepped down as president, chief executive officer and a member of its board of directors, effective immediately.
Nvidia Chief Financial Officer Colette Kress has been named interim CEO while the company searches for a permanent replacement. Kress will continue serving as CFO during the transition.
The company also appointed former Synopsys CEO Harvey Jones as its first-ever board chairman.
Huang's departure follows reports that he had an affair with Alice Huang, a Chinese businesswoman and former executive at Singapore-based cloud company Megaspeed. U.S. authorities reportedly suspect Alice Huang of working on behalf of Chinese intelligence, an allegation Beijing has denied.
Nvidia's board previously launched an independent investigation into whether Huang had been targeted by a foreign intelligence operation.
The controversy intensified Wednesday when The New York Times reported that Huang also had an extramarital affair with Kimberly Powell, a senior Nvidia executive who reported directly to him.
According to Reuters, Nvidia's board met Wednesday to discuss Huang's future before announcing his resignation Thursday morning.
The leadership shakeup sent Nvidia shares tumbling more than 12 percent in early trading, threatening to erase approximately $500 billion in market value.
Huang co-founded Nvidia in 1993 and helped transform the company from a graphics chip manufacturer into a dominant force in artificial intelligence. Under his leadership, Nvidia became one of the world's most valuable companies, with a market valuation of approximately $4 trillion.
His departure raises questions about the company's future leadership and its role in the global AI industry, particularly as Washington continues debating restrictions on advanced semiconductor exports to China.
Nvidia says it will consider both internal and external candidates as it searches for a permanent CEO.
