Nvidia CEO Jensen Huang Resigns Amid Scandal Involving Affairs

Jensen Huang, the founder and CEO of Nvidia, resigned on Thursday following reports of two extramarital affairs. This news comes at a critical time for the company, which is a major player in the artificial intelligence sector.

Colette Kress, the chief financial officer, will take over as interim CEO while the board looks for a permanent replacement. Huang, who co-founded Nvidia 33 years ago, also gave up his position on the board. The company did not provide a specific reason for his departure.

Huang’s resignation has already impacted Nvidia’s stock, which dropped more than 10 percent in premarket trading. Shares were already down about 25 percent from their peak in early October. The company is now facing a class action lawsuit from shareholders who claim they were not informed about Huang’s relationships.

The scandal began when reports surfaced about Huang’s affair with Alice Huang, a senior executive at a data center company. There are also allegations that she may have connections to Chinese intelligence, which Beijing has denied. A second affair was reported involving Kimberly Powell, Nvidia’s vice president of health care.

Nvidia’s board has expressed confidence in Kress and the leadership team, stating that the company’s operations will continue smoothly. Kress has promised to build on the strong foundation Huang established over the years.

Nvidia is set to release its quarterly results on November 17, and the company hopes to navigate through this challenging period without major disruptions.