Nvidia (NASDAQ: NVDA) shares fell more than 5% to $176.82 in premarket trading on Monday after the company announced an independent investigation into reports that a foreign intelligence operation targeted CEO Jensen Huang.
The review follows New York Times reporting that U.S. intelligence officials identified Alice Huang, a former executive at Singapore‑based Nvidia client Megaspeed, as a Chinese intelligence asset with a close relationship to Jensen Huang. Alice Huang is not related to the Nvidia CEO.
Nvidia’s board announced the investigation on Sunday and appointed a committee of independent directors, supported by outside legal counsel, to oversee the review. The board stated it had no indication that U.S. national security or Nvidia’s secrets were compromised and expressed confidence in Huang’s leadership. Nvidia spokesperson John Rizzo emphasized that Huang remains committed to serving as CEO and leading the company without interruption.
In a separate message to employees on Sunday, Huang acknowledged a personal betrayal and apologized to his family, colleagues, and shareholders. He declined to name Alice Huang or confirm the alleged relationship in that communication. He also pledged cooperation with the board’s investigation and reaffirmed his commitment to Nvidia and U.S. national security.
The probe has raised questions about Huang’s future, who co‑founded Nvidia in 1993 and has been pivotal to its growth as a leading AI‑chip supplier. Citi analyst Atif Malik highlighted corporate governance improvements, heightened regulatory scrutiny, and the need for long‑term leadership stability as primary investor concerns.
Megaspeed has faced U.S. scrutiny over suspicions that it enabled Chinese customers to obtain advanced Nvidia chips subject to American export controls.Nvidia clarified that its regional cloud customers receive standard business information, not sensitive company trade secrets or data pertinent to national security.
Nvidia Premarket Decline Erases Friday’s Rebound
Nvidia shares fell 8.8% last week, despite a 2.78% rebound in the final session that brought the closing price to $186.64. This latest pre‑market decline erased that recovery, pulling the price below its pre‑rebound close of $181.60 posted on Thursday.
Separately, NVIDIA’s tokenized bStocks (NVDAB) were trading at $176.69, down 5.65% over the previous 24 hours, per CoinMarketCap. NVDAB is a continuous‑trading tokenized instrument distinct from Nvidia’s Nasdaq‑listed common stock.
Congressional Briefing Request Precedes Board Investigation
Prior to Nvidia’s announcement, three U.S. House committee chairmen—Brian Mast, John Moolenaar, and Rick Crawford—submitted a joint, closed‑door briefing request to Huang on November 18 concerning his reported interactions with Alice Huang and Nvidia’s security measures against foreign espionage.
The letter, dated November 4 and publicly released the next day, requested that Huang confirm the proposed date or supply an alternative by November 11. Huang’s attendance remains unconfirmed.
The briefing follows Nvidia’s scheduled third‑quarter fiscal 2027 earnings release on November 17. The company is set to hold its earnings‑call conference at 5 p.m. ET that same day.
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