Nvidia Board Weighs Ousting CEO Jensen Huang Amid Scandal

By Staff, Agencies

Nvidia's board of directors reportedly met on Wednesday to consider removing CEO and co-founder Jensen Huang, as the world's leading AI chipmaker faces mounting pressure following revelations of two alleged extramarital affairs involving its longtime chief executive.

The meeting marks a sharp shift from Sunday, when the board expressed confidence in Huang and his leadership. 

The latest developments include reports by The New York Times that Huang had a separate relationship with Nvidia healthcare executive Kimberly Powell, following his admission of an affair with Alice Huang, a Singapore-based businesswoman accused by US intelligence of working for Chinese intelligence. Huang has denied knowing of any alleged intelligence links.

Meanwhile, Nvidia shares plunged more than 8% in after-hours trading following reports by The Wall Street Journal that the board was preparing to remove Huang. Under the company's bylaws, he can be dismissed with or without cause through a majority vote of its 11 directors. 

The independent directors have also appointed law firm Wachtell, Lipton, Rosen & Katz to conduct an independent investigation, while Huang remains at the helm during the review.

Huang co-founded Nvidia in 1993 and has led its transformation into a company valued at more than $4 trillion, supplying advanced processors that power major AI developers, including OpenAI, Anthropic, and Google. 

His potential departure raises concerns over leadership succession, particularly as he has no obvious successor and holds approximately 3.6% of the company's shares. President Donald Trump has publicly defended Huang, while Elon Musk has also expressed support, saying it would be an honor to hire him.

The controversy has also drawn political attention, with Democratic Senators Elizabeth Warren and Chris Coons urging the Trump administration to preserve all documents related to Nvidia's chip exports to China. 

They warned that the case raises serious concerns about the enforcement of US export controls and national security. Nvidia has not immediately commented on the reported board meeting.