Is Jensen Huang too important to lose his job?
That’s the key question tech insiders and market watchers are asking as Nvidia’s board prepares to investigate whether its CEO was the target of a foreign intelligence effort. Some, like President Donald Trump, are supportive of Huang. Others, like The Future Fund investor Gary Black, think his days are numbered. (Meanwhile, the internet is just having fun roasting Huang.)
BI’s Sarah E. Needleman recapped the back-and-forth debate over Huang’s job security.
There are a lot of names to keep straight. Here’s who’s who in the Nvidia scandal.
In the meantime, details continue to emerge about the woman at the center of the saga — Alice Huang. US intelligence officials reportedly believe Alice Huang (no relation) developed a close relationship with the Nvidia CEO and passed information to Beijing.
Photos show the pair together at industry events dating back to 2024.
The New York Times reported the Commerce Department halted an investigation into Megaspeed, the company Alice Huang has been an executive at, after an email from Nvidia’s general counsel asking about the probe. And the Financial Times reported that Alice Huang and a business partner bragged to China-based investors they’d have “no problem securing GPUs.”
In a vacuum, the scandal reads damning for the average executive. But Jensen Huang isn’t your average executive.
How do you replace someone who’s the face of your company AND an entire industry?
That’s the other big question tied to Jensen Huang’s future. With dozens of direct reports, Huang isn’t a figurehead-type leader. He’s heavily involved in the day-to-day operations of Nvidia, a company he cofounded more than three decades ago.
And then there’s the wider position Nvidia holds in the AI ecosystem. Whether it’s supplying chips, providing financing, or cutting deals, all roads lead back to Nvidia in the AI trade.
So you’re not just replacing a CEO. You’re replacing the key person at the key company in an industry the economy is betting big on. (But no pressure.)
Our Nvidia beat reporter, Geoff Weiss, has some analysis on who could succeed Huang if Nvidia decides to send him packing.
Monday’s market reaction was a bit convoluted. Nvidia finished down 4.3%, but the three major indices (S&P 500, Dow Jones, and Nasdaq) were all up over 2%.
On Chinese social media, users have been tallying the cost of the fallout, from Nvidia investors to Huang’s own fortune.
Are investors confident Huang isn’t going anywhere? Or do they think a Huang-less Nvidia won’t upend the wider market?
BI’s Alistair Barr and Eugene Kim explain why Huang’s scandal won’t be a death knell to the AI trade.
Don’t expect Huang to weigh in anytime soon. He dropped out of two tech events he was scheduled to speak at this week.
But he can’t hide for long. Nvidia’s next earnings report: November 17.
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