Nvidia’s board of directors said on Sunday it was launching an independent investigation following reports that Chief Executive Jensen Huang was targeted by foreign intelligence agencies.
Previously, the New York Times and Financial Times reported on Huang’s relationship with Chinese businesswoman Alice Huang, who according to media reports was recruited to conduct espionage for China. There is no relationship between the two.
NBC News has not confirmed either report and has reached out to the Trump administration for comment.
“In light of recent reports that founder and CEO Jensen Huang has been targeted by foreign intelligence agencies, NVIDIA’s board of directors is launching an independent investigation,” the company said in a statement.
“A committee of independent directors will oversee the investigation with the assistance of outside independent counsel. The Board of Directors prioritizes the national and economic security of the United States, which is of paramount importance to the interests of NVIDIA and its shareholders.”
The company added, “There is no reason to believe that national security or NVIDIA confidentiality has been compromised, and the board’s investigation will examine all available information.”
In a memo to Nvidia employees that the company shared with NBC News, Huang said: “I was unfaithful to my wife. My actions hurt her and our children. There is no excuse for what I did.”
The New York Times and Financial Times reported that Chinese citizen Alice Huang, whose Singaporean company is purchasing Nvidia’s advanced chips, has been under surveillance by U.S. intelligence agencies. The agencies discovered that Huang had been recruited by China’s top intelligence agency to engage in espionage, the report said.
Jensen Huang and Nvidia have been at the forefront of the artificial intelligence craze for years. Nvidia’s products are the world’s most popular chips, but sales of its top products are mostly restricted to Chinese customers due to national security concerns.
China has long been committed to becoming a global leader in artificial intelligence. President Xi Jinping has set a 2030 deadline for surpassing the capabilities of U.S. artificial intelligence systems.
Huang, 63, is essentially an ambassador for the industry, often appearing at conferences with President Donald Trump, King Charles and others to tout his company and the huge rewards he says will come from artificial intelligence in the future.
In October, Trump awarded Huang the National Medal of Science, one of the highest honors in the United States for scientific and technological achievements.
As of Friday, Nvidia was the world’s second-largest publicly traded company, with a market capitalization of nearly $4.5 trillion. It has grown by more than 500% in the past five years.
Huang also sees his wealth balloon leading the company. His net worth has soared to nearly $160 billion from about $25 billion at the beginning of 2022, making him the world’s 10th richest person, according to the Bloomberg Billionaires Index.
In the latest in a series of reports published by The New York Times on Sunday afternoon, the report said concerns about Alice Wong and Jen-Hsun Huang are as serious within the U.S. government as Secretary of State Marco Rubio.
“Due to the nature of the matter, I cannot comment, and I cannot comment on Nvidia’s ongoing internal corporate matters,” Rubio told reporters in Florida on Sunday, shortly after Nvidia made the announcement.
On Friday, the Financial Times reported that the U.S. government believed Huang was in a relationship with Alice Huang. In response to the report, the Financial Times reported that Nvidia declined to comment and said that Huang meets with “thousands of customer executives” every year, as any CEO would normally do.
Huang has previously defended his interactions with Alice Huang, describing them as business-related in a recent statement: “Our relationship, our interactions were all related to Megaspeed, which is completely normal and not unusual.”
“To my wife and family: I love you. I know an apology cannot undo what I have done. I hope our family can heal and that over time I can earn your trust,” Huang wrote in the memo on Sunday.
The email to employees continued: “To my colleagues at NVIDIA, including those who have worked with me for decades, as well as our board of directors, partners and shareholders around the world: You deserve better from me. Leading NVIDIA has been the honor of a lifetime. My responsibility was to serve you and to deserve your trust. I have failed in that responsibility. I am fully committed to NVIDIA and will work hard to earn back your trust.”
An Nvidia spokesperson told NBC News that “today’s news will not slow down the company” and that Huang is “committed to continuing to lead Nvidia as CEO without interruption.”
Ahead of Sunday’s announcement, Nvidia and Huang were already facing congressional scrutiny over reports about Megaspeed and its executives. On Thursday, top House Republicans requested a briefing from the Hornets on the reports.
“Recent reports raise significant national security concerns about China’s access to sensitive U.S. technology and information,” said Rep. John Moolenaar of Michigan, who also chairs the House Select Committee on China.
“It is critical that Congress determine the extent of the risk to U.S. national security,” a letter to Nvidia read.