Nvidia faces deepening scrutiny over CEO's affair and China chip ties

Nvidia faces escalating scrutiny over CEO Jensen Huang's affair with Alice Huang, a woman alleged to be a Chinese spy, with new claims that the relationship facilitated at least US$7.5 billion in chip shipments to China. The company lost about US$430 billion in market value over two sessions as the controversy deepened. Senate Democratic Leader Chuck Schumer demanded answers and tighter export curbs, while Republican Senator Kevin Cramer called for Huang's resignation. Nvidia's independent directors hired outside counsel to investigate, and the FBI is examining whether Huang was targeted by foreign intelligence. Huang apologized to executives on Monday and returned to work Tuesday. The New York Times reported Secretary of State Marco Rubio briefed President Trump on the affair in May, though a White House official disputed this. Alice Huang's companies allegedly moved about 240,000 Nvidia chips to Chinese firms like Alibaba and Tencent. China's foreign ministry called the spy accusations "groundless," and Nvidia's board said it has no reason to believe national security was compromised.