The board of directors of Nvidia Corp. is preparing to consider the possibility of firing CEO Jensen Huang amidst reports of his numerous extramarital relationships. As reported by the Wall Street Journal on Wednesday, members of the board familiar with the situation were scheduled to meet that day to decide Huang's fate at the company.
The situation escalated after Huang admitted on Sunday that he had an affair with Alice Huang, who was allegedly spying on behalf of China. This revelation highlighted Nvidia's lack of a succession plan for Huang and underscored how closely the 63-year-old CEO is tied to the company's success and operations.
Huang's potential departure will have a significant impact far beyond Nvidia's operations, not only because Nvidia is a leading producer of chips underpinning the AI boom. Huang has established himself as an experienced negotiator who utilized the company's extensive resources to invest in the AI supply chain and various startups. He is also a staunch advocate for the AI revolution, minimizing concerns about risks to humanity and emphasizing the benefits.
Furthermore, The New York Times previously reported on Wednesday that Huang was in a relationship with Kimberly Powell, Nvidia's Vice President of Healthcare. According to the Times, company employees recorded a video showing Huang and Powell being affectionate at a hotel in San Jose, California, during the Nvidia conference in March.
On Sunday, Huang admitted to an affair with Alice Huang, who worked at Megaspeed International—a Singapore-based firm that is a subsidiary of a Chinese gaming enterprise. This data center company, Nvidia's largest client in Southeast Asia, has been under US investigation for several months on suspicion of chip smuggling. Megaspeed and Nvidia deny any wrongdoing. Beijing has rejected accusations of espionage against Huang.
Following these news, Nvidia shares dropped 8% in extended trading, reaching $159.95 around 5:35 PM New York time, down from the closing price of $173.73 on Wednesday. Nvidia did not respond to requests for comment.


