Nvidia CEO Jensen Huang resigns in big blow to AI boom

Detailed summary

Chief financial officer Colette Kress will take over as interim CEO. Read more at straitstimes.com.

Jensen Huang, who co-founded Nvidia and is its fourth-largest investor with a stake of about 3.61%, will exit the board as well.

SANTA CLARA, California – Nvidia chief executive Jensen Huang is stepping down, leaving the AI industry without its biggest champion and clouding the future of the chipmaker he built into an AI powerhouse.

Chief financial officer Colette Kress will take over as interim CEO as Nvidia looks for a permanent successor, the company said on Nov 12.

It named former Synopsys CEO and board member Harvey Jones as its first-ever board chairman.

Huang, who co-founded Nvidia and is its fourth-largest investor with a stake of about 3.61%, will exit the board as well.

Nvidia shares fell more than 10% in pre-market trading and weighed on the broader market.

Pressure had been mounting on Huang in recent days after reports said the 63-year-old, who is married, had an affair with a Chinese businesswoman whom the US authorities suspect of spying for Beijing.

Nvidia’s board met on Nov 11 to consider his ouster, a source familiar with the matter said, after reports earlier in the day that Huang also had an extramarital affair with a senior company executive who reported to him.

Huang’s exit plunges the US$4 trillion (S$5.14 trillion) company into uncertainty and threatens to disrupt an AI ecosystem that he helped bankroll by pouring Nvidia’s swelling cash pile back into cloud providers, suppliers and the industry’s biggest labs.

Opening of the article, excerpted from The Straits Times. To read the rest, open the article on the publisher's site.