November 12, 2026, (Inside AI) — Nvidia's board is reportedly preparing to remove CEO Jensen Huang following revelations of a second alleged extramarital affair, this time with a senior company executive. The news sent the chipmaker's shares tumbling more than 8% in after-hours trading on Wednesday, November 11.
The second relationship, with Kimberly Powell, Nvidia's vice president of healthcare, was reported by The New York Times. It follows Huang's admission last week of an affair with a woman identified as Alice Huang, who is suspected by U.S. intelligence of being a Chinese intelligence asset. The board has launched an independent investigation into potential national security breaches and is now weighing Huang's future at the company he co-founded in 1993.
The dual scandals strike at the heart of Nvidia, the world's most valuable semiconductor firm and a linchpin of the global AI boom. Huang, 63, has led the company for over three decades, turning it from a graphics card maker into the dominant supplier of AI chips. His personal conduct now threatens not only his tenure but also the stability of a company whose market value has soared past $3 trillion on the back of insatiable demand for its GPUs.
According to people familiar with the matter, the board could meet as soon as Wednesday to decide Huang's fate. The Wall Street Journal first reported the board's deliberations. Nvidia declined to comment on the board's plans, and Inside AI could not independently verify the reported meeting.
The alleged affair with Powell came to light after the New York Times reported that the two were seen being affectionate at a hotel in San Jose, California, in March. Powell, who joined Nvidia in 2008, oversees the company's global healthcare business, including hardware and software for medical imaging, life sciences, and drug discovery. Her lack of formal training in healthcare had long fueled internal rumors about the relationship, according to sources.
Nvidia's healthcare segment remains a small fraction of its revenue, dwarfed by its AI and data center GPU sales. The company supplies chips for medical equipment and MRI machines, but those operations contribute minimally to a business that generated over $60 billion in its last fiscal year, largely from AI.
The first scandal broke earlier this month when Huang acknowledged an affair with Alice Huang, who is believed to be a spy for China's Ministry of State Security. In a November 8 email to employees, Huang issued a public apology.
"There is no excuse for what I did. I am deeply sorry." — Jensen Huang, CEO, Nvidia
"Throughout my life, my family has given me love and support. They deserve my honesty and loyalty. Instead, I let them down and damaged the life we built together. I take full responsibility for what I did and the hurt I caused, and I accept the criticism that comes with it." — Jensen Huang, CEO, Nvidia
Huang also addressed the national security concerns, stating that the board had initiated an independent investigation into whether he was targeted by a foreign intelligence operation. The board has engaged law firm Wachtell, Lipton, Rosen and Katz to probe the spying allegations. A committee of independent directors, assisted by outside counsel, will oversee the investigation. The board said it has no reason to believe Nvidia's secrets or U.S. national security were compromised.
Read: Jensen Huang's Spy Scandal Stuns Taiwan, His Birthplace
"I support the investigation and will cooperate fully. I love our country and our company. I am committed to protecting NVIDIA and supporting America's national security. I am proud and grateful to be an American." — Jensen Huang, CEO, Nvidia
Nvidia's stock has fallen about 7% this week, heading toward a sixth consecutive weekly decline. The slide raises questions about the sustainability of the massive investments in AI infrastructure that have powered the company's growth. The broader market has started to scrutinize the returns on those investments, and any leadership vacuum at Nvidia could ripple through the entire AI supply chain.
Huang's personal stake in Nvidia is substantial. According to SEC filings, he directly holds about 70.1 million shares as of September 2026. His ownership extends through family trusts and other entities, including approximately 467.7 million shares held by the Jen-Hsun and Lori Huang Living Trust, plus holdings in two irrevocable trusts and six limited liability companies. In total, these holdings account for roughly 811.5 million shares.
Any move to oust Huang would be unprecedented for a founder-CEO of his stature. The board must balance the need for stable leadership against the reputational and security risks posed by the scandals. The investigation into the alleged espionage is ongoing, and its findings could further complicate Huang's position. For now, the tech world watches as Nvidia navigates a crisis that few could have anticipated.
Shamil has a low tolerance for AI that only works in controlled demos. He covers agentic systems and generative AI with the skepticism of someone who has seen too many “revolutionary” tools quietly disappear six months after launch.
