Nvidia hires law firm to probe CEO's alleged link to Chinese spy

Nvidia has engaged one of the largest law firms in the United States to look into claims involving an affair between its chief executive, Jensen Huang, and a woman alleged to be a spy working for Beijing.

Jensen Huang, who co-founded the company, has acknowledged having a relationship outside his marriage with a woman named Alice Huang, who also goes by Huang Le. She is not related to him but previously held an executive position at Megaspeed, a Singapore-based firm that has been a customer of Nvidia.

On Tuesday, Nvidia confirmed it had brought in New York-based firm Wachtell, Lipton, Rosen & Katz, with attorney Joon Kim overseeing what the company described as an independent and thorough inquiry. The FBI is separately carrying out its own investigation into the matter.

Since Friday, Nvidia's share price has dropped close to its lowest point in a year, erasing about $500bn, or roughly £375bn, from the company's stock market value.

Nvidia is regarded as central to the global artificial intelligence industry, being the only manufacturer of a particular computer chip widely used in AI technology. It ranks as the world's second most valuable company, behind Apple, and its chips are viewed by US officials as a matter of national security amid competition to lead in AI development.