Nvidia shares fall due to the possible dismissal of Huang following the spy-lover scandal

BarcelonaNvidia's board of directors is meeting to decide whether to dismiss the CEO, Jensen Huang, according to several US media reports. The world's leading provider of artificial intelligence processors is facing new information about another extramarital affair involving Huang, one of the company's founders. All this due to the scandal over Huang's relationship with Alice Huang, a businesswoman who, according to US intelligence services, facilitated the shipment of Nvidia chips to Chinese companies.

Huang, 63, has no clear successor and owns approximately 3.6% of Nvidia's shares. In addition, he has dozens of executives who report directly to him, which highlights the tight control he exercises over the company.

The company's shares fell by nearly 8% in after-hours trading after the Wall Street Journal reported that Nvidia was preparing to dismiss Huang. If including the decline on Wednesday after the market close, Nvidia has lost about $600 billion in market value this week since the board of directors announced an investigation into Huang's relationship with the Chinese businesswoman.

Earlier in the day, the New York Times had reported that Huang had also maintained an extramarital affair with a company executive who was under his command.

Nvidia's performance remains especially relevant for the markets, given its dominant position in the design of processors used to develop and operate AI systems.