Nvidia sued by investors over ‘Chinese spy’ affair
Nvidia sued by investors over ‘Chinese spy’ affair
Joe SledgeTue, November 10, 2026 at 8:55 AM UTC
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Jensen Huang has admitted to an affair with Alice Huang, an alleged Chinese spy - AFP/Philip Fong
Nvidia is being sued by investors over claims it lied about Jensen Huang’s affair with an alleged Chinese spy.
Rosen, a US law firm, has launched a class-action case against the US tech giant for making “false and misleading” statements about its chief executive’s relationship with Alice Huang, a Chinese businesswoman.
The firm is seeking damages on behalf of shareholders after Mr Huang admitted to having an affair with Ms Huang, wiping $192bn (£143bn) off the value of the company on Monday.
US intelligence agencies believe Ms Huang may have passed critical information to Beijing.
Nvidia had initially denied the allegations when The New York Times first reported that Donald Trump had been briefed on security reports that someone with direct access to the Nvidia boss was working for Beijing.
An Nvidia spokesman said at the time: “Jensen’s interactions with Ms Huang are not unusual or unexpected.”
This prompted Rosen to launch a class-action lawsuit on behalf of purchasers of Nvidia shares between Oct 9 and Nov 8, it confirmed on Monday night.
In Rosen’s claim, the investors allege that Nvidia failed to disclose that Mr Huang had an affair with a suspected spy.
Ms Huang is a top executive at Singaporean technology business Megaspeed, an Nvidia customer suspected of helping Beijing to gain access to advanced AI chips that the US has banned from being exported to China.
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While Rosen did not name Ms Huang, it said the affair was with someone at Megaspeed, “a company suspected of assisting China in circumventing export controls”.
It added: “Nvidia’s statements about its relationship with Megaspeed were materially false and misleading at all relevant times.
“The foregoing raised concerns in the national security community about Nvidia and, if revealed, presented a material risk to the company’s reputation and business prospects.”
Jensen Huang pictured with Alice Huang in Taiwan in June 2024 - Reuters
Nvidia’s share price has fallen by more than 15pc since late October, when details of the affair between Mr Huang and Ms Huang, who are not related, first emerged.
Stephen Yiu, a fund manager at Nvidia shareholder the Blue Whale Growth Fund, said he would consider legal action.
He said: “We run a strategy that’s solely for the benefit of investors and shareholders.
“Hence, I would suggest that if the situation ended up to be quite detrimental to, maybe, the share price of Nvidia a lot more from here, and it’s not recoverable because it’s very specific to this case, I think we definitely would welcome the opportunity to maybe make some claims if that’s the case.”
Rosen’s case is not the only one looming over Nvidia. Rival law firm Schall, Brown & Schwartz is also conducting a pre-filing investigation with a view to bringing a potential suit against Nvidia on behalf of shareholders.
Nvidia remains one of the world’s most valuable companies, with hundreds of millions of Nvidia shares trading hands each week.
The company has been contacted for comment.
Source: “AOL Money”
