Nvidia Stock Drops as CEO Jensen Huang Admits Affair With Suspected Chinese Spy

Nvidia shares declined by approximately 4.25 percent on Monday following an admission by CEO Jensen Huang that he was involved in an extramarital relationship with a woman whom U.S. intelligence agencies suspect of spying for China. The news triggered a sharp reaction in financial markets, sending shockwaves from Wall Street to Capitol Hill. In contrast, AMD, Nvidia's primary competitor in artificial intelligence chips, saw its stock price jump by more than 13 percent in response to the news.

The woman involved serves as an executive at MegaSpeed, a company based in Singapore. Nvidia has collaborated with MegaSpeed on various projects. The controversy centers on whether MegaSpeed assisted Chinese firms in circumventing U.S. chip export controls. The New York Times reported that the U.S. Commerce Department is currently investigating MegaSpeed and that the woman was transmitting information to Beijing. NPR has not independently verified these specific claims.

Nvidia occupies a central position in the technological competition between the United States and China. This strategic role makes Huang's personal statements and actions a point of high interest for Beijing. The incident adds to the scrutiny surrounding major AI chip manufacturers as the rivalry over artificial intelligence infrastructure intensifies.

Separately in Washington, the U.S. Supreme Court issued a five-page decision granting the Trump administration permission to proceed with the construction of hundreds of miles of border barriers and security infrastructure in west Texas. The court ruled that a federal judge who had previously issued an injunction against the construction lacked the authority to intervene. The decision came despite ongoing court hearings related to the project.

The planned construction has drawn bipartisan criticism due to its impact on Big Bend National Park. The area is known for its canyons and desert terrain. The court's ruling allows the federal government to move forward with the infrastructure plans while legal disputes continue in other forums.

In the House of Representatives, lawmakers are preparing for a vote this week on a resolution to impeach Defense Secretary Pete Hegseth. Representative Thomas Massie of Kentucky reintroduced articles of impeachment accusing Hegseth of high crimes and misdemeanors. The proposal lists eight specific charges. These include three charges related to illegally waging war against Iran, one charge for ignoring laws intended to minimize civilian casualties, one for overseeing extrajudicial killings of alleged drug boats in the Caribbean and Eastern Pacific, and one for capturing Venezuelan President Nicolás Maduro without congressional authorization.

Hegseth has described the articles of impeachment as a sham. Massie told reporters that he believes it will be possible to secure the necessary votes. He cited opposition to the war in his fellow Republicans' home states as a factor that could convince them to support the measure. Massie noted that some members of Congress are coming around to the idea that the administration must be held accountable for violating congressional war powers.

For a Senate trial to remove Hegseth from the Pentagon, 67 senators must vote in favor. This threshold will be challenging for Democrats to reach even after they take control of the chamber. A small number of House Republicans must support the impeachment to make the process possible.

House Republicans also have a closed-door meeting scheduled for today. The group will select a minority leader for the next Congress. The decision is narrowed down to two candidates: current House Majority Leader Steve Scalise of Louisiana and Jim Jordan of Ohio, who is a co-founder of the House Freedom Caucus.

President Trump has acknowledged that the war he initiated with Iran harmed his party in the recent midterm elections. Weeks before the election, the president stated he would hold off on further strikes in Iran. While campaigning, he hinted at potential actions to proceed with the war and teased a significant move to end it. Now, Trump says there is no need for further strikes if talks are ongoing.