Nvidia shares fall 4pc as board investigates CEO Jensen Huang over alleged spy affair

Nvidia, the leading AI chip company, experienced a significant drop in its shares following the revelation that its CEO, Jensen Huang, had an affair, with US officials suspecting the woman involved was a Chinese spy. The board of Nvidia launched an investigation into allegations that Huang had been the target of a "foreign intelligence effort."

The affair came to light after The New York Times reported that a Chinese executive, Alice Huang, who worked for a Singapore-based data center company, Megaspeed, allegedly passed information to Beijing. Huang admitted to being unfaithful to his wife, expressing deep regret for his actions. President Donald Trump expressed sorrow for Huang's situation and claimed to believe his innocence.

China denied the spying allegations, labeling them "baseless vilification." The US President expressed no intention to press charges despite having been briefed on the intelligence findings roughly a year ago. The investigation could lead to congressional inquiries and potentially affect Huang's position as CEO of Nvidia.