The Nvidia affair: Are markets about to fall out of love with AI?

Nvidia is facing a major governance and security crisis after reports linked its former chief executive Jensen Huang to an affair with an executive at Megaspeed, a Singapore-based computing firm. The allegations have drawn attention to whether Nvidia chips reached Chinese customers in breach of US export controls, and have raised questions about the company’s leadership and the risks surrounding the AI boom.

US authorities are investigating Megaspeed’s reported role in moving billions of dollars’ worth of Nvidia hardware, including imports into Malaysia for Chinese clients, and lawmakers have summoned Huang to testify. Intelligence officials suspect Megaspeed executive Alice Huang of working for China’s Ministry of State Security, though these are allegations. The article says US controls limit access to advanced chips, while a proposed Chip Security Act could address ways of accessing technology without physically transferring it.