Nvidia shares tumble over investigation into Huang's affair with alleged Chinese spy

ByArchie Mitchell Business reporter. 9 November 2026, 18: 08 GMT.

Key points

• Nevertheless, the news sparked a sell-off in Nvidia's shares, with concerning $250bn (£190bn) wiped of the company's market value.
• US intelligence authorities believe Alice Huang, additionally known as Huang Le, was a spy for Beijing, according to a New York Times report, external.
• After Nvidia's investigation was confirmed, other sizeable tech bosses, including Elon Musk, came out in backing of Jensen Huang to continue leading the firm.
• In January, the Trump administration remarked it would allow the business to sell its H200 chips to Chinese customers under certain conditions.
• The tech firm saw its shares fall by regarding 4% by close of trade on Monday after Jensen Huang admitted having an extramarital affair.

Hundreds of billions of dollars have been wiped off the value of Nvidia after the US chipmaker confirmed an independent investigation would be carried out into its chief executive's affair with an alleged Chinese spy.

Notably, the tech firm saw its shares fall by regarding 4% by close of trade on Monday after Jensen Huang admitted having an extramarital affair.

Nvidia's probe came after reports that the US believed the Nvidia boss had been targeted in an espionage campaign by China.

Nevertheless, China has rejected the claims, with its foreign ministry saying allegations concerning Chinese spies were "entirely groundless, speculative and intended to smear and malign China".

Nvidia remarked it had no reason to believe the company's secrets or national security were compromised, but a statement by the firm's board of directors stated it would commence an investigation in "light of recent reporting that founder and chief executive Jensen Huang has been the target of a foreign intelligence effort".

Meanwhile, the report remarked Secretary of State Marco Rubio sent a memo to top office-holders in Washington last spring warning that the Nvidia boss was in a close relationship with a Chinese spy.

Alice Huang was managing director of Singaporean firm Megaspeed. It has had dealings with Nvidia.

Jensen Huang admitted he was "unfaithful" to his wife and apologised for hurting her and their children. He continued he was "committed to protecting Nvidia and supporting America's national security" and would cooperate with the investigation.

Notably, the Nvidia co-founder has additionally been requested to appear for a joint closed-door briefing for a number of Congressional committees next week.

As well as Nvidia's security protocols around espionage, members of the US House Foreign Affairs Committee last week asked Jensen Huang to appear for a closed-door briefing on his interactions with Alice Huang.

"Recent reports raise significant national security concerns regarding the PRC's access to sensitive US technology and information, " congressmen Brian Mast, John Moolenaar, and Rick Crawford wrote in a letter.

"It is vital that Congress determines the extent to which US national security has been placed at risk."

US President Donald Trump remarked the Nvidia boss was an "honourable guy".

While Nvidia shares fell, the US stock market opened the week on a positive note after last week's turmoil, with Nvidia's rival chipmakers benefiting.

But analysts suggested the hit to the firm would be short-lived. As the chipmaker was so significant to the AI industry, victoria Fernandez, chief market strategist at Crossmark Global Investments remarked investors would not abandon Nvidia.

"Nvidia is the core of this AI trade, and without them, all these other pieces start to fall apart because the financing's not there, " she informed the BBC.

Jensen Huang co-founded Nvidia. It is central to making the hardware for emerging AI technologies, with two other engineers in 1993.

Its chips were initially designed for gaming, but he decided to turn its focus on AI development, turning it into the world's second most valuable firm. Huang's position vulnerable unlike other tech bosses.

As Fernandez stated there was "no natural successor" to the chief executive, a key concern for investors going forward is what would happen to Nvidia if Jensen Huang was removed from the firm.

Jensen Huang, unlike other founders in the tech industry, is vulnerable to any move by Nvidia's board of directors to oust him.

He owns only around 3.5% of the firm, and Nvidia operates on a single class voting structure, meaning his stake would not be enough to act as a veto power over any board decision.

By contrast, plenty of tech founders who lead their businesses, including Mark Zuckerberg of Meta and Musk of Tesla and SpaceX, hold significant percentages of multiple types of stock in their firms.

Fernandez remarked she does not believe the board will remove Jensen Huang as chief executive, unless there is glaring evidence of wrongdoing related to national security or intellectual property, "but I bet they start bringing someone up as his number two, to have there for the future."

For context, the modest fall in its shares mean investors believe it is unlikely he will step down or be removed as chief executive, but that the outcome of the investigation will be closely watched.

Even individuals who do not directly own shares in Nvidia can be affected by rises and falls in its value. Pensions or savings invested in pots which have stakes in the firm through index tracking funds can be impacted, for example.

What we know so far regarding Jensen Huang's affair with suspected Chinese spy.

Nvidia chips have been a major focus of the AI race between the US and China and the White House has previously imposed controls on where its advanced products can be sold.

Notably, the H200, Nvidia's second most advanced semiconductor, had previously been restricted by Washington over reservations that it would provide China's technology industry an edge over the US.

But Jensen Huang has been against restricting the sale of Nvidia's chips to China, arguing that it would be better for the global rollout of AI to be powered by US technology.

In January, the Trump administration remarked it would allow the business to sell its H200 chips to Chinese customers under certain conditions. Extra reporter by Samira Hussain, North America business correspondent.

In short, nvidia shares tumble over investigation into Huang' s affair with alleged Chinese spy is the central thread here, and readers can expect follow-up reporting as the picture becomes clearer.