Nvidia shares fell 8.6 percent in after-hours trading on Wednesday as the company’s board is set to discuss the future of CEO Jensen Huang. The plunge comes after reports of allegations involving Huang’s personal conduct and potential ties to Chinese intelligence services.
The board is reportedly preparing to oust Huang amid reports of an affair with a suspected Chinese spy and an extramarital relationship with an Nvidia executive. Huang, who co-founded the company in 1993, has been a central figure in Nvidia’s rise to become a leading AI chip supplier.
The potential ouster of Huang could have significant implications for Nvidia’s leadership and stock price. Analysts suggest that Huang’s departure would be a seismic moment for the company, with concerns about the impact on its strategic direction and market value.
The situation has also raised questions about the company’s internal governance and the potential for a leadership vacuum. Huang’s position has been integral to Nvidia’s operations and strategic decisions, and his absence could lead to uncertainty in the company’s future.