Nvidia opened an investigation after reporting that CEO Jensen Huang was the target of a foreign intelligence effort, and the company’s shares fell at the start of Monday’s trading.
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Nvidia shares fell 8% at the opening bell Monday after the computer chip maker opened an investigation into reports that CEO Jensen Huang was the “target of a foreign intelligence effort.”
Nvidia said the investigation began Sunday, following Huang’s acknowledgment that he had been intimate with a business executive who, according to U.S. intelligence, was gathering information for China.
China’s Foreign Ministry dismissed the allegations Monday, calling them a smear campaign against Beijing.
Nvidia chips are used to power many data centres and computing systems that train and run AI models, and its advanced processors have also been a focus of U.S. export restrictions aimed at limiting China’s access to cutting-edge semiconductor technology.
By Monday’s open, Nvidia’s stock slid $14.27 to $172.37, after reaching an all-time high last month.
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