US Congress Summons Nvidia’s Jensen Huang as Scandal Wipes Out Over $1.7 Trillion in Market Value

Washington DC: Three US House committees have summoned Jensen Huang to a closed-door interview on December 1 over the scandal that cost him his job as Nvidia’s chief executive officer, giving him until 8 pm on Friday to accept or face a subpoena. A joint letter from the panels set out the deadline.

In the Senate, the chair of the Banking Committee wrote to Huang and Commerce Secretary Howard Lutnick on Thursday, asking both to testify voluntarily before the committee on December 3.

Nvidia’s shares fell 4.34 per cent after the leadership shake-up, erasing about $182 billion in market value. The stock has dropped 30.5 per cent since its record high on October 6, a loss of roughly $1.76 trillion.

Nvidia’s board announced on Thursday that Huang had resigned as CEO and that chief financial officer Colette Kress would take over as interim chief while it searches for a permanent successor, weighing internal and external candidates.

The company gave no formal reason for the resignation, but it followed a week of allegations. The scandal began last weekend with reports that Huang had an affair with a woman believed to be a Chinese spy passing information to Beijing. The New York Times then reported a second extramarital relationship, with an Nvidia employee. Much remains unclear, including what information may have been leaked and the whereabouts of the woman, Alice Huang.

Meanwhile, President Donald Trump spoke with Huang by phone several times this week, according to reports.