NEW YORK: Jensen Huang has resigned as chief executive of Nvidia following mounting scrutiny over allegations involving a woman suspected of having links to Chinese intelligence and reports of a separate relationship with a company executive.
The chipmaker announced on Thursday that Huang had stepped down as president, CEO and a member of its board, effective immediately. He had led the company since co-founding it in 1993.
Nvidia Chief Financial Officer Colette Kress has been appointed interim CEO while the board searches for a permanent successor. Kress will retain her finance responsibilities during the transition.
The company also appointed longtime board member Harvey C. Jones as its first chairman. In its announcement, the board praised Huang’s contributions to Nvidia but did not disclose a specific reason for his departure.
Controversy triggers corporate investigation
The leadership crisis intensified after reports alleged that Huang had a relationship with Alice Huang, a former executive at Singapore-based Megaspeed International, whom US intelligence officials reportedly suspected of having ties to the Chinese government.
The reports raised concerns about possible foreign intelligence access to sensitive technology and business information. Alice Huang and Jensen Huang are not related.
Nvidia’s board launched an independent investigation on November 8 to examine the allegations. At the time, directors said they had no reason to believe that US national security or company secrets had been compromised.
Huang acknowledged in a message to employees that he had been unfaithful to his wife, expressed regret over his actions and pledged to cooperate with the investigation.
The controversy widened after reports alleged a separate relationship between Huang and Kimberly Powell, a senior Nvidia healthcare executive who reportedly worked under him.
China has rejected allegations of an intelligence operation involving Huang, while Nvidia has maintained that its investigation will examine all available information.
Nvidia shares come under pressure
The leadership crisis has also unsettled investors in the world’s most valuable artificial intelligence chipmaker.
Nvidia shares fell around 14% at Thursday’s opening, according to market reporting, following several sessions of losses as uncertainty surrounding Huang’s future intensified.
The company, valued at more than $4 trillion, has played a central role in the global artificial intelligence boom through its advanced processors used in data centres and AI systems.
The departure of its co-founder marks a major leadership transition after 33 years, raising questions about the company’s future direction as it searches for a permanent chief executive.
