Nvidia CEO Resigns After Affair

Nvidia CEO Jensen Huang resigned on Thursday.

His departure followed public reports that he maintained a romantic relationship with a female client. U.S. intelligence agencies identified that woman as a Chinese spy. The New York Times first reported the details of the affair. NPR has not independently confirmed the newspaper's findings.

The woman, Alice Huang, ran a company called Megaspeed. Megaspeed was a major purchaser of advanced chips from Nvidia. The New York Times reported that U.S. authorities kept Huang under surveillance. Officials learned of her ties to the Chinese Ministry of State Security by monitoring her communications. Huang also had an unrelated affair with a company executive who reported directly to Huang, according to the Times.

The Chinese government rejected the intelligence community's findings. A statement from Beijing described the accusation as nothing but smears against China. The ministry involved is the country's main civilian intelligence agency. Former CIA officers and other U.S. officials say the ministry routinely recruits individuals for romantic espionage operations known as honey traps.

Peter Mattis, president of the Jamestown Foundation, noted that the Ministry of State Security values infiltrating enemy decision-making processes. He said these operations serve as influence efforts to shape a target's views on China. Nicholas Eftimiades, a former CIA and Defense Intelligence Agency official, explained that China uses a whole-of-society approach to intelligence gathering. He cited the 2017 National Intelligence Law, which requires citizens to cooperate with collection efforts.

Desmond Shum, a Hong Kong businessman, analyzed Huang's background. He stated that she does not fit the typical profile of a professional spy. Shum described her as a white glove, a term for a front-person in large commercial deals. This role could have shielded her from direct ministry oversight. He pointed to her active social media presence, where she posted photos from luxury travel and country clubs. Shum argued that a spy would not behave that openly. He spoke from his home in the United Kingdom.

Isaac Stone Fish, who runs a China-focused business intelligence firm, suggested the ministry may have recruited Huang after she began the relationship with Huang. He noted that the ministry likely notices when Chinese citizens form romantic ties with powerful Americans. The tactic has a long history, including a case in the 1960s involving a French diplomat and a male opera performer. That story inspired the play and film M Butterfly.

Other intelligence services have used similar methods. Russia historically used sex workers for blackmail. East Germany sent male spies to West Germany during the Cold War. Israel's Mossad employed the tactic from the 1950s through the 1970s. Yossi Melman, an investigative reporter on Israeli intelligence, said the practice has declined as digital spying became more efficient. U.S. officials said they now prefer ideological appeals and financial incentives over romantic entrapment.