Nvidia CEO Huang Resigns Amid Scandal; CFO Kress Takes Over as Stock Plunges

Key points

• Jensen Huang resigned as CEO, President, and Board Member effective immediately on November 12, 2026, after a board meeting convened to address allegations of two extramarital affairs.
• CFO Colette Kress, who has served in her role since 2013, was named interim CEO. She will remain in the position while the board searches for a permanent successor, considering both internal and external candidates.
• Nvidia shares fell more than 13% in early trading Thursday, wiping out approximately $440 billion in market value. The company’s market cap dropped to $3.75 trillion, falling behind Apple and Microsoft to become the third-largest company by market cap.
• The resignation follows reports that Huang had a relationship with Alice Huang, a Megaspeed executive believed by U.S. intelligence to be a Chinese spy, and Kimberly Powell, an Nvidia executive who reported directly to him.
• Harvey Jones, a former Synopsys CEO, became the first chair of Nvidia’s board. He and Kress sent emails to employees expressing confidence in the company’s future and scheduling a company meeting for November 18.
• Jensen Huang has agreed to testify before Congress ahead of Thanksgiving, following a letter from Representatives Brian Mast, John Moolenaar, and Rick Crawford requesting his presence regarding national security and chip export controls.

Background

Nvidia, co-founded by Jensen Huang in 1993, had become the world’s most valuable company, reaching a $5 trillion market cap. The company’s leadership crisis emerged after The New York Times reported on Wednesday that Huang was involved in an affair with Alice Huang, a woman U.S. intelligence officials concluded was a Chinese spy. This was followed by reports of a second affair with Kimberly Powell, an Nvidia executive. The scandal triggered a massive market sell-off, erasing over $400 billion in value, and prompted congressional demands for testimony regarding potential chip diversion to China. Analysts were divided on whether the leadership crisis would impact Nvidia’s long-term fundamentals, with some arguing the company’s technology roadmap remains secure despite the executive turmoil.

How outlets are covering it

Yahoo Finance and CNBC emphasized the immediate leadership transition, highlighting Colette Kress’s appointment as interim CEO and the board’s confidence in her ability to manage the company’s commitments. BBC focused on the challenge of finding a permanent successor, noting that while Kress is a steady hand, the company may need an engineer or external figure like Tim Cook or Rene Haas to replace Huang’s unique blend of technical vision and global relationships. GeekWire provided background on Kress’s career, noting her 13 years at Microsoft and her role in Nvidia’s financial strategy, while also highlighting the uncertainty surrounding her long-term suitability for the CEO role. All sources agreed that the scandal has raised serious questions about corporate governance and national security, but differed on the severity of the long-term impact on Nvidia’s market position and AI leadership.

Why it matters

The resignation of Jensen Huang, who led Nvidia for 33 years, marks a significant shift in the leadership of the world’s leading AI chipmaker. The scandal has raised concerns about national security, corporate governance, and the stability of the AI industry. The market’s reaction, with a 13% drop in Nvidia’s stock, reflects investor anxiety about the company’s future direction and the potential impact on its global partnerships and technology roadmap. The crisis also highlights the broader implications of personal conduct on corporate leadership and the scrutiny faced by major tech companies in the AI era.

What to watch

Nvidia will report fiscal third-quarter results on November 17, 2026, with an earnings call scheduled for 2 p.m. Pacific. The company will hold a meeting for employees on November 18. Jensen Huang is expected to testify before Congress ahead of Thanksgiving, where he will address questions about national security and chip export controls. The board will continue its search for a permanent CEO, considering both internal and external candidates, with Tim Cook and Rene Haas among the names mentioned as potential successors.