Nvidia & boss face lawsuit over Chinese spy affair

Reuters Los Angeles: Tech titan Jensen Huang faced fresh turmoil on Tuesday as shareholders sued him and his firm for allegedly misleading them over his affair with an accused Chinese spy. US-based Rosen Law Firm said it had filed a class-action lawsuit accusing Huang and AI behemoth Nvidia of failing to disclose information to shareholders about his links to the woman who is accused of funneling information to Beijing. Also read: Nvidia CEO Jensen Huang could face major trouble when Democrats take control of Congress: Report The New York Times reported last month that Taiwanese-born Huang developed a close relationship with Alice Huang , a Chinese executive linked to Singapore-based data center company Megaspeed. The woman is no relation to the 63-year-old Nvidia CEO . Live Events Shares of the chipmaker tumbled after Nvidia's board opened an inquiry into reports that its CEO had been "the target of a foreign intelligence effort," which Beijing denies. China is in a race for tech dominance against the United States, which restricts the export to China of the most cutting-edge silicon chips. Nvidia, a global leader in producing chips used to train and run AI models, is one of the world's most valuable companies. The lawsuit filed in a California federal court on Monday said Huang and Nvidia misled shareholders about the national security concerns raised by the affair, and that their misleading statements "artificially inflated" Nvidia's share price. Also read: Nvidia CEO Jensen Huang's personal affair matters far beyond than what meets the eye "As a result of Defendants' wrongful acts and omissions, and the precipitous decline in the market value of the Company's securities, Plaintiff and other Class members have suffered significant losses and damages," the lawsuit alleges. Huang admitted in a message to Nvidia employees released on Sunday that he had been "unfaithful" to his wife. "My actions hurt her and our children. There is no excuse for what I did. I am deeply sorry," he said. Huang is a central figure in the artificial intelligence boom and a close informal advisor to US President Donald Trump, who has repeatedly opposed regulating the industry so that China does not gain the upper hand. Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our Economic Times WhatsApp channel ) Read More News on Jensen Huang affair Nvidia CEO controversy nvidia ceo jensen huang nvidia jensen huang nvidia share price nvidia ceo jensen huang alice huang nvidia alice huang nvidia ceo jensen huang alice huang (You can now subscribe to our Economic Times WhatsApp channel ) Read More News on Jensen Huang affair Nvidia CEO controversy nvidia ceo jensen huang nvidia jensen huang nvidia share price nvidia ceo jensen huang alice huang nvidia alice huang nvidia ceo jensen huang alice huang Explore More Stories Sass Jordan cause of death: How did ‘Racine’ singer die after cancelling shows over ‘serious medical condition’? Canadian rock singer Sass Jordan, voice behind ‘Make You a Believer’ and ‘Tell Somebody,’ dies at 63 Helicopter crash on Montreal’s South Shore leaves 4 dead; Transport Minister expresses condolences as probe begins Nova Scotia teacher charged with sexually assaulting student at school as police identify more victims Nova Scotia Crime: Teacher faces multiple serious charges, prohibited from public places after alleged assaults at Riverton school Psychology explains why people who dislike being interrupted may be protecting more than just their train of thought Powerball jackpot climbs to $313 million for September 21 drawing - Here's what Monday night's winner could take home Quote of the Day by Malala Yousafzai: ‘One child, one teacher, one book, one pen can…’ - How one person can spark global change with the simplest tools Quote of the Day by Thomas Mann: ‘Whoever loves the more is at a disadvantage and must suffer’ - Nobel-winning novelist on why the person who care more may have more to lose Quote of the Day by Anton Chekhov: ‘Every happy man should have someone with a little hammer at his door to knock and remind him that there are unhappy people, and…’ Gary Myers death: NASCAR legend dies at 76; sons mourn ‘hero’ who shaped four generations of racing Quote of the day by Rita Wilson: ‘Be fearless in trying new things, whether they are physical, mental…’ – Sleepless in Seattle actress on turning fear into growth Manager keeps booking 4:45 PM Friday meetings despite team logging off at 5, employee calls it a ‘Friday ambush’ and asks if it’s a power move 1 2 3