Nvidia shares fall amid investigation into Jensen Huang's alleged affair

Nvidia has seen hundreds of billions of dollars wiped off its market value after the US chipmaker confirmed an independent investigation into its chief executive, Jensen Huang, following his admission of an extramarital affair with an alleged Chinese spy. The company's shares dropped by approximately 6% on Monday.

The board of directors stated they would launch an inquiry in "light of recent reporting that founder and chief executive Jensen Huang has been the target of a foreign intelligence effort". According to reports, US intelligence officials believe Alice Huang, also known as Huang Le, acted as a spy for Beijing. Alice Huang served as the managing director of the Singaporean firm Megaspeed, an organisation that has conducted business with Nvidia.

A report indicated that Secretary of State Marco Rubio issued a memo to senior Washington officials last spring, warning that the Nvidia boss was involved in a close relationship with a Chinese agent. Nvidia maintained that it has no reason to believe national security or company secrets were compromised during this period.

Jensen Huang confessed he was "unfaithful" to his wife and expressed regret for causing hurt to his spouse and their children. He stated he remains "committed to protecting Nvidia and supporting America's national security" and will fully cooperate with the investigation.

China has dismissed the claims, with its foreign ministry asserting that "allegations about Chinese spies were "entirely groundless, speculative and intended to smear and malign China". Meanwhile, other technology leaders, such as Elon Musk, have expressed support for Huang to remain in his position. US President Donald Trump described the Nvidia boss as an "honourable guy".

Following the announcement of the inquiry, the sell-off in Nvidia shares resulted in approximately $250bn (£190bn) being wiped from the firm's total market value.