Nvidia’s board has opened an investigation into the company’s own chief executive. In a statement, the board said a committee of independent directors, helped by outside independent counsel, will review reporting that founder and CEO Jensen Huang “has been the target of a foreign intelligence effort.”
The inquiry will not remove Huang from his role, and he remains CEO while it proceeds. He has not pushed back on the personal side of the story either.
The probe comes after a New York Times report in late October. According to that report, Huang cheated on his wife with a person U.S. intelligence believed was involved in a Chinese spy plot. The Times identified her as Alice Huang, also known as Huang Le, a Chinese businesswoman and an executive at Megaspeed.
Huang’s letter to staff
In a letter to Nvidia employees, Huang admitted to the affair in blunt terms.
“I was unfaithful to my wife. My actions hurt her and our children,” he said. “There is no excuse for what I did. I am deeply sorry.”
He then turned to the issue that concerns investors and Washington.
“Regarding the national security concerns raised in news reports, Nvidia’s Board of Directors has initiated an independent investigation,” Huang said. “I support the investigation and will cooperate fully.
“I love our country and our company. I am committed to protecting Nvidia and supporting America’s national security. I am proud and grateful to be an American.”
No breach found so far, according to the board
The board says it has seen no sign of a leak. It currently has “no reason to believe either national security or Nvidia secrets were compromised,” it said, though it intends to look at all the information available to it.
Here is the board’s statement in full: “The NVIDIA Board is initiating an independent investigation in light of recent reporting that founder and CEO Jensen Huang has been the target of a foreign intelligence effort. A committee of independent directors, assisted by outside independent counsel, will oversee the investigation.
“The Board prioritizes U.S. national and economic security, which is paramount to the interests of NVIDIA and its shareholders. While the Board has no reason to believe that either national security or NVIDIA secrets were compromised, the Board’s inquiry will examine all available information.
“Jensen fully supports the review and has committed to cooperating with it. The Board has confidence in Jensen and his leadership team and will provide further updates as appropriate.”
What U.S. officials believed
The board chose its words with care. Its statement calls Huang a target and never suggests he was a participant.
On that point, the Times report lines up with the board. It said U.S. officials, as of last year, did not believe Huang knew about Alice Huang’s alleged intelligence work for China.