Nvidia investigates after CEO admits affair linked to spy reports

Nvidia’s board has opened an independent investigation after chief executive Jensen Huang admitted on Sunday to a relationship with Alice Huang, a former executive at Nvidia customer Megaspeed. US spy agencies reportedly believe she was working for China.

The admission is the latest turn in a story that began less than two weeks ago. Since then, it has drawn in three House committees, a US intelligence memo, the government of Singapore and Nvidia’s own board, just days before the company reports its quarterly results.

Neither Jensen Huang nor Alice Huang has been charged, and the two are not related. China has rejected the accusations as unfounded, but here is how the story has unfolded so far.

October 29: the first report

The New York Times reported that US spy agencies had watched Alice Huang for about a year over her ties to China.

Officials feared she could learn about Nvidia’s plans, but they did not believe Jensen Huang knew she might be gathering information for Beijing, according to the newspaper.

On the same day, Alice Huang told Bloomberg that she no longer worked for Megaspeed. Megaspeed, a Singapore company that buys Nvidia chips, said it had hired outside lawyers to look into the claims, Forbes reported.

An Nvidia spokesperson told the Times that the two executives’ contacts were ‘not unusual’. Jensen Huang later said his dealings with her were related to Megaspeed and were completely normal.

October 31: Singapore steps in

Singapore’s Ministry of Home Affairs said its own investigation into Megaspeed was still going on. US officials have also looked into whether the company helped China obtain restricted Nvidia chips, though Nvidia says those claims were checked and dismissed last year.

November 4: House chairs ask for a briefing

Three Republican committee chairs, John Moolenaar, Brian Mast and Rick Crawford, wrote to Jensen Huang. They asked him to attend a closed-door briefing on November 18 about his contacts with Alice Huang and how Nvidia guards against spies.

The three lead the House committees on China, foreign affairs, and intelligence, and they gave Huang until November 11 to agree or suggest another date.

November 6: a memo comes to light

The New York Times reported on a memo shared among US officials, which claimed that China’s Ministry of State Security had recruited Alice Huang to spy on Jensen Huang. The Financial Times then reported that the same memo described a romantic relationship between the two.

Asked by Semafor whether Huang would attend the House briefing, Nvidia did not say.

“We’re confident that if the U.S. government believes that any person is a threat to American industry, it would let us know,” spokesperson John Rizzo told Semafor.

November 8: Jensen Huang apologises and the board steps in

In a memo to staff, Jensen Huang admitted he had been unfaithful to his wife and apologised to his family and employees. He said he backed the board’s inquiry and was committed to protecting Nvidia and US national security.

“I owe my family and all of you an apology.

I was unfaithful to my wife. My actions hurt her and our children. There is no excuse for what I did. I am deeply sorry.

Throughout my life, my family has given me love and support. They deserve my honesty and loyalty. Instead, I let them down and damaged the life we built together. I take full responsibility for what I did and the hurt I caused, and I accept the criticism that comes with it.

To my wife and family: I love you. I know an apology cannot undo what I have done. I hope our family will heal and that, over time, I can earn back your trust.”

A group of independent board members, helped by outside lawyers, will check whether company secrets or national security were put at risk. The board said it had no reason to believe either was compromised, and that it still had confidence in Huang and his team.

At the same time, Rizzo said the news would not slow Nvidia and that Huang would keep leading the company without interruption. Democrats have also joined the scrutiny, with Senator Chris Coons saying Congress would investigate and get answers.

Jensen Huang has until Wednesday, November 11, to reply to the House chairs. It is not yet known whether he will attend, and he has turned down Congress before. In June, he declined Senator Elizabeth Warren’s invitation to testify about Nvidia’s chip sales to China.

Nvidia reports its third-quarter results on November 17, the day before the planned briefing, while the board’s investigation and Singapore’s inquiry into Megaspeed continue.