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Nvidia Opens Probe Into Huang Affair

Nvidia's board has opened an independent inquiry after chief executive Jensen Huang told staff he had an affair with a woman US intelligence agencies are reported to be concerned about, ahead of earnings on the 17th of November.

Nvidia (NASDAQ: NVDA) has opened an independent board investigation after chief executive Jensen Huang admitted to staff that he had an affair with a woman US intelligence agencies are reported to be concerned about. Huang emailed employees on Sunday. The board is examining allegations that he was the target of a foreign intelligence effort.

A banner on CNBC’s report said Nvidia stock falls 5%.

NVDA.US

In the email, Huang wrote: “I was unfaithful to my wife. My actions hurt her and our children. There is no excuse for what I did,” and added: “I am deeply sorry.” He has also said he is proud and grateful to be an American.

The New York Times and the Financial Times reported that US intelligence agencies have concerns that the woman, Alice Huang, passes information to Beijing. That remains an allegation. The board said: “While the Board has no reason to believe that either national security or NVIDIA secrets were compromised, the Board’s inquiry will examine all available information.”

A Nvidia spokesperson said Huang is committed to continuing as CEO without interruption.

Ms Huang is affiliated with Megaspeed, an Nvidia customer accused of helping restricted Chinese companies obtain Nvidia’s AI chips. Nvidia representatives previously said Megaspeed had already been investigated over evading export controls.

Washington restricts sales of the most advanced chips to China, though it has approved certain older models. Huang has pushed for broader exports.

Political pressure is already building. Three House Republican committee chairs wrote on Wednesday asking Huang to attend a closed-door briefing on the 18th of November.

That is one day after Nvidia reports third-quarter results on the 17th of November. A Washington DC conference follows at the end of November.

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