Nvidia’s board is preparing to oust founder and CEO Jensen Huang after he had two extramarital affairs, including one with a suspected Chinese spy, according to a report by The Wall Street Journal. The board is preparing to meet as soon as today to determine his future, people familiar with the matter said. Nvidia stock was down more than 8% in after-hours trading.
Here’s what you need to know about the allegations surrounding Jensen Huang
The Alice Huang Allegations
On Sunday, Huang acknowledged in a letter to staff that he had been unfaithful to his wife and apologized for violating their trust. That affair involved Alice Huang, an executive at the Singapore-based data company Megaspeed, which has been a major Nvidia customer. US intelligence officials believe she is working for China’s intelligence services.
The report comes as Huang faces growing scrutiny over the relationship. The Times earlier reported that a Chinese executive with whom Huang had become close had been identified by US officials as an alleged Chinese intelligence asset. Nvidia’s board subsequently opened an investigation, led by the law firm Wachtell, Lipton, Rosen & Katz. Republican leaders of three influential House committees have also asked Huang to attend a closed-door briefing about his interactions with Alice Huang.
China has denied the espionage allegations. Alice Huang has not responded to requests for comment.
The Second Affair
The Journal reported that Huang also had an affair with an employee, according to a person familiar with the matter. The New York Times earlier reported the second affair.
The Times reported that the relationship was with Kimberly Powell, Nvidia’s vice-president of healthcare, a senior executive who reports to him. The relationship had not previously been made public. Huang, 63, and Powell, 48, are both married to other people.
Two people who worked at Nvidia told the Times that Huang and Powell were seen being affectionate at a hotel in San Jose, California, during an Nvidia conference in March. Three people briefed on the incident said a bystander recorded the interaction on a mobile phone. The newspaper said it had not seen the video.
