Nvidia CEO Jensen Huang resigns in blow to AI boom he helped foster
NVDA•Jensen Huang resigned as Nvidia CEO after revelations of extramarital affairs, including one involving a woman suspected by US authorities of spying for China. CFO Colette Kress will serve as interim CEO as Nvidia searches for a permanent successor; its shares fell as much as 14% before paring losses.
1. Leadership transition
Nvidia CEO Jensen Huang resigned on Thursday, and CFO Colette Kress will take over as interim CEO while the company considers internal and external candidates for a permanent successor. Huang will also leave the board, which named former Synopsys CEO Harvey Jones as its first board chair.
2. Shares pare losses
Nvidia shares fell as much as 14% before paring losses to trade down 5.5% at $164.22. Retail investors bought shares as the price fell, while AMD and Broadcom shares rose about 6% each.
3. Scandal and scrutiny
The resignation followed revelations of Huang’s relationships with two Nvidia employees, including one woman US authorities suspect of spying for Beijing. The crisis has raised questions about US chip sales to China and could affect the AI ecosystem Huang helped shape through investments in cloud providers, suppliers and labs. Huang agreed to testify before Congress before Thanksgiving.
