Nvidia CEO Jensen Huang Exits as Shares Fall Amid Reports of Affairs
Nvidia CEO Jensen Huang has left his position at the chipmaker following weeks of reports about his personal relationships, and the company's shares fell as the news emerged. ABC News described the move as a resignation, while Bloomberg Law reported that the board ousted him.
Nvidia CEO Jensen Huang Leaves After Board Scrutiny
ABC News reported that Nvidia's stock dropped on Thursday morning, November 12, after the company announced Huang's resignation. Yahoo Finance reported that Chief Financial Officer Colette Kress will serve as interim CEO. Huang co-founded Nvidia in 1993, according to Newsweek.
The departure followed a report from The Wall Street Journal on Wednesday that the board was preparing to remove him. Media accounts of the exit differ in wording, so the exact circumstances of his departure are described differently across outlets.
How the Allegations Unfolded
The scrutiny began on October 29, when The New York Times reported that U.S. intelligence officials were examining a close relationship between Huang and Alice Huang, a businesswoman with no family relation to him. U.S. intelligence suspects she worked for China, according to media reports. Beijing has denied the espionage allegations, and she has not responded to requests for comment.
In a statement on November 8, Huang acknowledged an affair, according to Reuters reporting carried by Ynet. Other outlets reported that he gave no further details.
On November 11, The New York Times reported that Huang had also had a relationship with Kimberly Powell, Nvidia's vice president of healthcare. Citing sources, it said Powell reported to him. Reuters later reported, citing two people familiar with the matter, that Huang had an intimate relationship with a second Nvidia employee, whom it identified as Powell. Huang has not confirmed the relationship. Nvidia declined to comment, and neither Powell, Huang nor a representative for the board responded to Reuters' requests for comment.
Investigations and Congressional Interest
After Huang acknowledged the affair, Nvidia's board launched an independent investigation through a major law firm, according to Herald Corp. Republican leaders of three House committees have also asked Huang for a closed-door briefing about his interactions with Alice Huang, NewsX reported.
Market Reaction to the Leadership Change
Nvidia shares fell about 8% in after-hours trading on Wednesday, November 11, after the Wall Street Journal report, according to StockAnalysis. CBS News also reported a sharp decline after the close. InvestingLive reported that Nasdaq futures dropped 0.8% on the same report. The stock fell again on Thursday morning after the company confirmed Huang's exit, according to ABC News.
Search for a Permanent Successor
Fox Business reported that Nvidia's board has approached Rene Haas, CEO of the British chipmaker Arm, as it searches for a replacement. That report has not been confirmed by the companies involved. AIStockWire had earlier reported that the board was working with an outside firm on the CEO search.
Data source: ABC News, Yahoo Finance, Ynet (Reuters), CBS News, Fox Business
Writer: Marcus RenfieldCrypto Market Analyst & Onchain WriterMarcus Renfield covers cryptocurrency markets with a focus on onchain data, Bitcoin price action, and emerging market narratives. His writing examines how capital flows, network activity, and broader market structure influence short- and medium-term trends.He aims to provide clear, data-informed analysis for readers seeking a deeper understanding of crypto market dynamics.