Nvidia’s board was reported to be considering whether to remove CEO Jensen Huang at a meeting on Wednesday, November 11. No decision had been announced by Thursday, according to reports cited by Reuters.
The reported meeting follows a series of allegations involving Huang and an internal company investigation. Nvidia did not immediately respond to a request for comment on the board meeting, according to France 24.
Reports have linked the investigation to Huang’s relationship with a businesswoman identified as Alice Huang, who has been alleged to have ties to Chinese intelligence. The source report said US intelligence was examining claims that she helped arrange shipments of Nvidia chips to Chinese companies. These are allegations, not established findings.
In a memo to employees on Sunday, Huang acknowledged being unfaithful to his wife and said he took “full responsibility,” but did not provide details, the report said. Nvidia’s board had expressed confidence in Huang and his leadership team earlier that week.
Leadership uncertainty weighs on investors
Nvidia shares fell more than 8% in extended trading after a report that the company was preparing to dismiss Huang. The company’s bylaws allow directors to remove the CEO with or without cause by majority vote. Nvidia has 11 directors, including Huang.
Huang, 63, co-founded Nvidia and has led the company for more than three decades. The chipmaker has become a major supplier to the artificial intelligence industry. The report described no obvious successor, while Bloomberg said the board had been working with an outside firm to identify potential replacements.
Investors are due to receive Nvidia’s quarterly results and outlook on November 17. The uncertainty over the company’s leadership comes as markets assess the allegations and their potential implications for the business.
Reid Bentley 
Clayton Ward