Nvidia Hires Top US Law Firm To Investigate CEO Jensen Huang's Alleged Link To Chinese Spy
· Free Press Journal
Nvidia has brought in one of America's biggest law firms to examine its chief executive Jensen Huang's relationship with a woman alleged to be a Chinese spy, as the chipmaker's board tries to contain a crisis that has erased $500 billion from its market value in days. The company said that Wachtell, Lipton, Rosen & Katz will conduct an independent inquiry led by former federal prosecutor Joon Kim, while the FBI runs its own separate investigation into the matter.
The BBC reported that Huang, who co-founded Nvidia, has acknowledged a romantic relationship outside his marriage. The woman, Alice Huang, also known as Huang Le, is no relation to him. She was an executive at Singapore-based Megaspeed, a customer of Nvidia that had earlier been suspected of helping divert chips to China. Nvidia has said it investigated that concern and found it baseless. It has also said the US government never told it that Megaspeed posed an intelligence risk.
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Nvidia CEO Jensen Huang Drops Out Of World's Top 10 Richest As Net Worth Falls To $148 BillionNvidia's board said on Sunday, when it first announced the probe, that it had no reason to believe company secrets or national security had been compromised. A committee of independent directors will oversee the inquiry. Beijing has rejected the allegations, with its foreign ministry calling them an attempt to 'smear and malign China', according to the BBC. Secretary of State Marco Rubio reportedly circulated a memo among senior US officials earlier this year warning of Huang's close relationship with a suspected Chinese spy.
Lawyers' background
Kim previously served as US Attorney for the Southern District of New York and spent years prosecuting fraud and other crimes as a government lawyer. Wachtell counts OpenAI and Salesforce among its clients. People familiar with the matter told the BBC the investigation will likely be handled as a priority, given how closely Huang's public image is tied to the company. It remains unclear whether Wachtell will be able to interview Alice Huang.
'Global AI Demand To Remain Strong': Taiwan Chipmakers See Limited Long-Term Impact From Nvidia CEO Jensen Huang ControversyThe political pressure is also building. President Donald Trump said Monday that Huang told him he had "no idea she was a spy", and that he believed him. The House Committee on Foreign Affairs has asked Huang to attend a closed-door briefing next week.
Nvidia's shares have fallen close to their lowest level this year. The company, the world's second most valuable after Apple, is the sole maker of a chip used in AI tools, and US officials treat its chips as a national security matter.