$NVDA · Joseph Carlson After Hours · 2026-11-09

Nvidia's Jensen Huang is now embroiled in a huge scandal. He founded Nvidia , his life seemed stable, everything was going naturally. And now he is admitting to this extramarital affair.

In addition, the matter has become more complicated because the person he cheated on is a Chinese citizen. And now there are allegations that he is not only a Chinese citizen , but that he may be a Chinese spy who is trying to influence Jensen.

Nvidia has long been at the forefront of the AI movement , being the most profitable company funding the entire industry. The scandal has raised concerns about the future of Jensen and Nvidia, as Democrats recently took control of Congress. This has given them new weapons to monitor.

shares fell about 4.6% due to this news, even though the market is up today. Today, this is a 7% difference between Nvidia and the market. So we'll discuss all of these things, what it really means , why investors are worried about it, or whether they should be worried at all.

And we will investigate the connection with this new person , who some are claiming is a Chinese spy , and see if there is any evidence behind it.

He told Nvidia's board this yesterday and then sent an open email to every Nvidia employee.

Leading Nvidia has been a great achievement in my life. My responsibility is to serve you and be worthy of your trust. I have failed in that responsibility , but I remain fully committed to Nvidia and will continue to work to restore your trust.

But in reality, people invest in Nvidia out of trust in Jensen. When you invest , you're investing in Jensen's judgment, his decisions, and who he is as a person. You're investing money in the company based on trust in his leadership, judgment, vision, and acceptance. Those are important factors in your investment.

I think it surprised investors a little bit. Jensen has, over a long period of time, even throughout his life, established himself as a very disciplined and pragmatic person who prioritizes long-term success over short-term pleasure. and prioritizes prosperity.

Jensen is seen as someone who has strong values in life ; he is a family man, stable, emotionally balanced and disciplined. When you see him, those are the traits that come through in his character .

So, when you hear this kind of news, it is natural to be surprised. This goes against the image that Jensen has built up throughout his life. He has always been focused on long-term goals , but in this case, he has prioritized immediate gratification over long-term results .

And in the process, he has probably put his family relationships, his business integrity and his reputation at risk. So, this has far-reaching implications.

some of the repercussions of this have a potential impact on Nvidia shares. According to the Wall Street Journal, nearly two decades ago, Before her romance with Nvidia’s Jensen Huang, Alice Huang (not related by name) was a television reporter for Chinese state media.

She left journalism to go into finance, working for Chinese financial institutions and London-based HSBC. According to a 2016 social media post by another former employee , she worked at a Shanghai investment fund.

Then came a career move that eventually caught Washington’s eye. In early 2023, she officially joined MegaSpeed International , a company that the United States is investigating as a possible conduit for smuggling America’s most coveted artificial intelligence chips to China.

A cornerstone of Washington’s strategy to win the AI race is to ban the sale of Nvidia’s advanced chips to China.

Now, U.S. officials believe Alice Huang was leaking information to the Chinese government, leading Nvidia to investigate whether Jensen Huang was a target of foreign espionage.

MegaSpeed, a Singapore-based company spun off from a Chinese video game company in 2023, advertises itself as a cloud provider for Nvidia hardware in the Asia-Pacific region. According to a letter posted on a website in November 2023, MegaSpeed is a member of Nvidia's partnership program, a status that usually gives it priority access to the latest chips.

The company acts as an intermediary in AI trade , connecting hardware makers led by Nvidia with companies that need computing power for AI.

What makes this so complicated is that the person Jensen defrauded is no ordinary person. He's not just a regular citizen , he works for a Chinese company that's known for taking chips from Nvidia and giving them to Chinese companies.

The company he was part of was directly under investigation by the US government. And naturally, the whole thing is pretty bad to watch. When you put this relationship and the timing together, you can see why investors are so concerned.

According to Singapore corporate filings, Alice Wong served as a director of MegaSpeed from March to November 2023. She continued to operate as the company's head even after that.

According to employees and business partners, she used to identify herself as MegaSpeed's CEO until August 2025. In early 2024, Alice represented MegaSpeed at Nvidia's annual event in California and met with Jensen.

MegaSpeed is still active. In late September, the company brought a team of business development managers from China to an industry event in Singapore. They were aiming to fund AI data center projects in China and Southeast Asia , including some of Nvidia's cutting-edge Blackwell chip projects, which they've disclosed to investors.

So, if you look at what MegaSpeed is really doing, the whole idea is to collect American GPUs, especially Nvidia's high-end GPUs, and distribute them to China and Asia. That's their whole business model.

And the alleged CEO of this company was having an affair with Jensen. So to say that doesn't look good at all is putting it mildly . And I think some of Nvidia's investors are a little bit, I mean, I don't know.

Maybe they're in denial about what it looks like, but it really doesn't look good . The relationship here looks pretty shady. And that's likely to trigger a lot of investigation and inquiry into what's going on here.

Is this really an espionage effort, or Is it all a coincidence?

Another thing that hasn't been mentioned here is that Megaspeed has close ties to the Chinese government. It was formed separately from the Chinese government during the US export ban .

So, it raises a lot of questions about the whole purpose of Megaspeed's business. Was it just operating within normal demand and the law , or was the company's main purpose to help China evade US export controls?

That's what they're going to try to find out. And in fact, they've been looking into the matter for quite some time. In late 2024, the Commerce Department began investigating whether Megaspeed was smuggling Nvidia chips into China.

That investigation was dropped , but now the Justice Department is investigating.

Jensen Huang has long argued that the US should ease restrictions on chip sales to China. He also said that this would maintain Beijing's reliance on US chips and help Nvidia generate revenue that benefits Americans, rather than encouraging China to become self-sufficient.

The investigation will be intensified and at the same time Things are getting more complicated as Democrats take power. They have already sought to slow down AI development and chips, especially by not selling them to China, and this will become a new weapon for Democrats .

Even before last week's midterm elections , in which Democrats won large majorities in the House and Senate, influential party leaders asked Wang about ways to get advanced Nvidia chips from China and lobby for legislation favorable to his company.

Elizabeth Warren of Massachusetts said a few days before the election , "We must pass bipartisan legislation to ensure that our advanced AI technology does not fall into the hands of China."

"Jensen had previously declined an invitation to testify before the Senate Banking Committee. Democratic House Leader Hakeem Jeffries of New York, who is a potential House speaker in the new Congress, told CBS News on Monday that it was "a major concern."

"Jeffries said he has a secret briefing with White House officials on Monday and expects the Nvidia CEO 's case to be discussed there. He also said he has not seen any memo from Secretary of State Marco Rubio about Jensen Huang and the alleged spy's ties.

With Democrats on the verge of taking power, Senator Chris Coons of Delaware, who is running to become chairman of the Senate Foreign Relations Committee, wrote, "Congress will investigate and demand answers."

"So this whole thing is disgusting, it's messy, it's a really big scandal for Nvidia, and today many Nvidia investors will create videos and content that will downplay its importance.

They'll tweet and say it's no big deal, it's just a relationship, right? These things happen all the time and it's a very personal matter. Why would you have an opinion on this?

But the problem is, there's more than just speculation behind this woman being a potential Chinese spy, there's a lot of evidence, and that's the truth.

When we look at it, the New York Times reports that US intelligence agencies have specifically identified her as a potential Chinese informant. Her personal business position and what she does is also very convenient.

She helped Megaspeed. She led a company that was specifically created to spread Nvidia technology to China and Asia. It's very convenient to have a romantic relationship with the most strategically important person in the world to achieve that goal.

So, you could say that all of this is coincidental; that she was randomly identified by the US government in advance ; that she works for a company that was specifically created to get Nvidia chips ; and that she has developed a relationship with the most important person in the chip industry.

All of this may be coincidental , but it's enough to be believable. There is a reason why there could be a motive or motivation behind this. That will be looked into. And it is going to be a huge investigation and a massive investigation.

Jensen will be brought before Congress repeatedly and questioned directly about this. There will be a lot of intelligence work to look into this situation.

So, look, I am not here to judge Jensen personally . I have no problem with his personal decisions , but I think it is important to get the truth out about what is really happening in this company.

And that is exactly what is happening right now. That is what is happening and it is of immense importance.

When we look at the stock and think about what I think is going to happen to Nvidia in the future , the good thing for Nvidia investors in the midst of today's scandal is that Nvidia is already quite cheap.

It is trading at $176 from $240. It is down 5.4% today as investors start to digest the news. Given Nvidia's low valuation, the stock has been sold off a long time ago, I do n't think the stock will fall much.

I think Investors will see this as an opportunity to buy shares cheaply during a major scandal. So, I'm not too worried about Nvidia stock. I don't think it will be a big problem.

Rather, it will create more uncertainty and questions and could slow down the progress of AI. It could lead to more stringent rules, restrictions and investigations , which would affect the entire AI industry.

Rather, it will create more uncertainty and questions and could slow down the progress of AI. It could lead to more stringent rules, restrictions and investigations, which would affect the entire AI industry.

Speaking of Jensen personally, I've heard a lot of people say, "Oh, he's a good guy overall and the fraud isn't that big of a deal." "I disagree with that view. I don't think it's fair to say that cheating is not a big deal, even if you're a huge fan of Jensen.

Cheating is a really big problem. It's very selfish. We shouldn't condone cheating. We shouldn't normalize cheating. It's not a good thing. It's possible to like Jensen and accept that he made a mistake. I think we can do both.

Frankly, many of the great leaders in history who did extraordinary things like Jensen were not perfect. When you look back, John D. Rockefeller, Henry Ford, even Steve Jobs—there was something about them that made you think, "Hmm, that's not right."

"They did a really good job, but there are questions about those aspects of them. And the reason is that people are multidimensional. We are three-dimensional. We try to judge people just by their online identities, but the truth is that people have a lot of complexity.

Take Steve Jobs, for example, I think he is one of the greatest inventors in the world. He created the most important and revolutionary product in the world, the iPhone. Still, Steve Jobs was not perfect and people close to him would call him tough.

He had a lot of problems in his personal life, but you still have to admit that he was an incredible businessman. I think you can look at it that way.

So, I still like Jensen when I look at him. I think Jensen is a great asset to the United States. I think he has achieved incredible things. I think it was a bad decision on his part.

It hurt some people. It will create a lot of unnecessary chaos and drama that didn't need to happen. He has acknowledged that and is trying to make peace, I hope he will work things out with his family.

I hope he will earn people's trust and through that, everyone will be able to He's mentally healthy. So, I wish him the best of luck in his future. And I hope he continues to lead Nvidia.

He's essential to the future of the company and he has an incredible ability to run this business .