Jensen Huang resigned on Thursday as chief executive of Nvidia after reports emerged of extramarital affairs, including a relationship with an alleged Chinese spy and a company employee. Colette Kress, Nvidia's chief financial officer, will take over the role on an interim basis until a permanent successor is named. Huang stepped down as chief executive, president and board member effective immediately, according to a statement from Nvidia's board of directors.
The resignation sent shockwaves through financial markets. Nvidia's share price fell 14% when Wall Street opened following the announcement, though it recovered to finish more than 4% lower as investor anxiety about the company's future leadership eased somewhat. The board said it would consider both internal and external candidates to replace Huang, with potential successors including Tim Cook, Apple's former chief executive and current executive chair, Rene Haas of UK-based chipmaker Arm Holdings, and Lisa Su, chief executive of chipmaker AMD.
Reports detailed three affairs involving Huang. One was with Alice Huang, described as an alleged Chinese spy, and another with Kimberly Powell, Nvidia's vice-president of health care. A third relationship with a second company employee was also reported. According to CNBC, documents reviewed showed that businesses connected to Alice Huang were linked with supplying Nvidia computing power to Huawei around the same time she and Huang were first publicly seen together in December 2023. Alice Huang may have owned stakes in businesses in China that benefited Huawei, Nvidia's biggest Chinese competitor.
Nvidia's board tribute to Huang made no mention of the scandal, instead praising his "profound" contributions to the company he co-founded. "Jensen's contributions to Nvidia are profound. Nvidia is one of the most consequential technology companies in the world," the statement said. However, the revelation that Huang allegedly maintained a relationship with someone connected to Chinese competition and that the White House knew about his ties to an alleged Chinese spy but still allowed him to accompany Donald Trump on an official visit to China has triggered political scrutiny.
US Senate minority leader Chuck Schumer called for an investigation into both Huang's ties to an alleged Chinese spy and the Trump administration's handling of the matter. House figure Hakeem Jeffries said lawmakers should receive a classified briefing on the scandal. Meanwhile, senior White House officials are reportedly discussing whether commerce secretary Howard Lutnick should be removed. A White House official said Trump "maintains complete confidence in the secretary and his ability to carry out the position."