House Republicans Threaten Subpoena for Nvidia CEO Huang Over Alleged China Spy Ties
NVDA is trading near its 52-week low of $164.27 (0.4% above the low) on elevated volume (2.2× avg).
Summary
House Foreign Affairs Chairman Brian Mast and two other top Republicans asked Jensen Huang on November 4 for a closed-door briefing on a New York Times report alleging a close relationship with a Chinese businesswoman who passed information to Beijing. Huang is unlikely to be allowed to send Nvidia's general counsel in his place, and Mast's spokesperson said a subpoena is on the table if he does not respond. House China Committee Chairman John Moolenaar said on Fox Business that Huang had until 5 p.m. ET Wednesday to agree or propose another date, adding that subpoenas will likely follow otherwise. The New York Times has since reported that Huang had a relationship with an executive who reported to him, and a report of a second Jensen Huang affair has weighed on the shares. Nvidia's board is preparing to remove Huang after the latest allegations, and the stock fell after hours following a report on a possible Huang exit. The stakes are political rather than financial in the near term, but the allegations feed directly into Washington's debate over whether export controls on advanced AI chips are tight enough — a live risk for Nvidia's China business. Nvidia did not immediately respond to a request for comment.
At the time of this announcement, NVDA was trading at $165.00 on NASDAQ in the Technology sector, with a market capitalization of approximately $4.2T. The 52-week trading range was $164.27 to $243.37. This news item was assessed with negative market sentiment and an importance score of 9 out of 10. Source: Reuters.