Nvidia spy scandal fuels debate over chip exports to China

Nvidia CEO Jensen Huang’s intimate relationship with a woman accused of being a Chinese spy has highlighted divisions in Washington over the export of advanced chips to China.

Huang, the head of one of the most critical firms in the global artificial intelligence race, has long been among Silicon Valley’s most powerful voices arguing against restrictions on high-end chip sales.

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For years, the tech executive lobbied United States President Donald Trump to loosen export controls, finding allies in sympathetic administration figures such as David Sacks, Trump’s former AI tsar.

Whereas hawkish voices argued that Beijing should not have access to cutting-edge US technology on national security grounds, Huang and like-minded executives argued that China already had the computing power to make strides in AI and that wider uptake of US technology would help maintain its dominance in the field.

Jensen Huang’s lobbying now faces intense scrutiny following claims that former Megaspeed executive Alice Huang — with whom he had an affair — was an intelligence agent recruited by China’s Ministry of State Security.

China’s Ministry of Foreign Affairs has denied the allegations, calling them “entirely groundless, speculative and intended to smear and malign China”.

Alice Huang has not publicly commented on the claims, which The New York Times and the Financial Times first reported, citing unnamed US intelligence officials.

Nvidia’s board of directors on Sunday launched an inquiry into Jensen Huang’s relationship, pledging to examine “all available information” while also expressing confidence in the CEO.