By Tom Howell Jr. (The Washington Times)
Jensen Huang is stepping down as CEO of Nvidia, the chipmaker he transformed from a gaming supplier into a $4 trillion behemoth at the heart of the artificial intelligence boom.
His resignation, announced by the company, follows revelations that he had affairs with Alice Huang, an alleged Chinese spy, and a company executive.
The discovery sparked investigations into whether the relationship with Ms. Huang compromised national security. Internal company pressure mounted after revelations he had a second affair with an Nvidia executive, Kimberly Powell, who reported to him.
The Nvidia board said Colette Kress, an executive vice president and chief financial officer at Nvidia, will serve as interim CEO.
Ms. Kress said she is “committed to building on the extraordinary foundation Jensen created over the last 33 years.”
“We will continue advancing the work that has made Nvidia a leader in accelerated computing and AI, and execute on the opportunities ahead. Our focus remains on serving our customers, partners, developers and shareholders,” she said.
The company’s release said Mr. Huang, 63, had a “profound” impact and thanked him for his “immeasurable contributions to the company and the industry.”
Nvidia shares fell nearly 12% on the news, and stocks were down overall given the chipmaker’s prominent role in AI and the overall economy.
Mr. Huang, wearing his trademark leather jacket, had cultivated a close relationship with President Trump as part of negotiations around potential sales of Nvidia products to China.
China is the U.S.’ main rival in the AI race, so American officials are wary of giving Chinese companies access to advanced Nvidia chips.
U.S. lawmakers are probing whether Mr. Huang’s relationship with Ms. Huang led to geopolitical problems.
Ms. Huang is a major shareholder in a Singapore-based company, Megaspeed, so lawmakers want to know if she used the company to divert Nvidia products to China.
Megaspeed rejected allegations of illegal shipments to China and said Thursday it was committed to “working constructively and transparently” with U.S. investigators.
Megaspeed said it already cooperated with the U.S. Department of Commerce’s Bureau of Industry and Security and was ready to work with any other relevant bodies.
“Megaspeed welcomes appropriate government scrutiny and is committed to demonstrating through concrete actions that it operates responsibly, transparently, and in accordance with applicable U.S. laws,” the company said.
Last month, Mr. Trump honored Mr. Huang and other tech leaders with medals honoring achievements in science and technology.
Mr. Trump backed Mr. Huang after the affair revelations surfaced on Sunday.
He called Mr. Huang a “high-quality person” and said he wanted him to stay at the helm of Nvidia, considered the second-most valuable company in the world behind Apple.
“He said I had no idea that she was a spy, and I really, and I really believe him,” Mr. Trump said Monday. “I hope there’s no problem.”
This article was made available to WMAL via The Washington Times.
