Nvidia had no succession plan when Jensen Huang quit. Former Fortune 500 CEOs call it ‘preposterous’

Three former Fortune 500 CEOs and a leading consultant have criticized Nvidia for lacking a proper succession plan for CEO Jensen Huang, who abruptly resigned on November 12 following reports of a second affair. The company stated that interim CFO Colette Kress would take over as CEO while a search for a permanent replacement was conducted.

However, the former CEOs argue that this lack of planning is shocking and demonstrates poor corporate governance. They point out that Huang, who is the oldest CEO in the so-called "Mag Seven" (the world's seven most valuable companies), should have had a seasoned leader ready to step in, especially considering his age and the sudden nature of his departure.

The failure to have a clear succession plan is seen as a red flag, with one observer stating it is akin to "preposterous." The CEOs also criticize Nvidia's board for not having diverse representation or experienced executives and for not regularly discussing succession planning.