WASHINGTON — President Donald Trump confirmed Monday that the Federal Bureau of Investigation is investigating Nvidia Chief Executive Officer Jensen Huang over an affair with an alleged Chinese government intelligence agent.
Speaking at a White House briefing, Trump intervened directly into the counterintelligence inquiry, insisting the semiconductor executive had done nothing wrong. "I know the FBI is looking into it in terms of something else, and I think that he'll be in good shape," Trump said. The president revealed he telephoned Huang earlier in the day to assess his condition. During the call, Huang maintained he had no idea the woman was operating on behalf of Beijing.
Huang previously admitted to the relationship in an open letter published on Nvidia's website, issuing an apology to his wife and staff without disclosing the woman's name. "I support the investigation and will cooperate fully," Huang wrote. "I love our country and our company. I am committed to protecting NVIDIA and supporting America's national security."
Nvidia announced Sunday that its board launched an independent investigation to determine whether its chief executive was targeted by a foreign intelligence operation. Investors reacted swiftly. Nvidia stock shed roughly 11% of its value between Wednesday and Monday, sliding another 5% in pre-market trading as Wall Street weighed the vulnerability of America's foremost artificial intelligence chip designer.
Intelligence findings identified the woman as Alice Huang, a former executive at Singapore-based data center operator Megaspeed International. Megaspeed, which lists Nvidia as an official partner on its website, faced regulatory allegations last year over illicitly moving advanced Nvidia processors into mainland China. Megaspeed and the Singapore Ministry of Home Affairs did not respond to requests for comment during a public holiday on Monday.
Beijing pushed back immediately. At a press conference in Beijing, Chinese Ministry of Foreign Affairs spokesperson Guo Jiakun dismissed the counterintelligence charges as fabricated political hostility. "The so-called Chinese spy allegation is unsubstantiated," Guo said. "It is nothing but smears against China."
Yet the national security fallout arrives at an exceptionally volatile diplomatic juncture. Trump travels to Shenzhen, China, next week for the Asia-Pacific Economic Cooperation summit, where he is scheduled to hold bilateral talks with Chinese President Xi Jinping. While Trump downplayed whether he would raise the espionage inquiry directly with Xi, he acknowledged the issue looms over the encounter: "I'm sure President Xi will ask me about it."