Nvidia’s stock price dropped 12 percent at the start of trading but rebounded slightly by midday, ending the day down 5 percent. Colette Kress, the company’s chief financial officer, was named interim CEO. In a memo to employees, Kress acknowledged the “extraordinarily difficult period” and announced a meeting on November 18. Huang will also step down from the board immediately.

U.S. President Donald Trump publicly endorsed Tim Cook, the former CEO of Apple, as a potential replacement for Huang. “Now that Nvidia CEO JENSEN HUANG, who has done a fantastic job, has resigned, there is only one man to take his place – TIM COOK of Apple,” Trump wrote on Truth Social. Trump has close ties to both Huang and Cook, having brought Huang on Air Force One for a state visit to China in May 2026.

U.S. lawmakers, including Senators Elizabeth Warren and Chris Coons, have called for Huang to brief Congress on the allegations. If he refuses to appear voluntarily, he could be subpoenaed, according to a Senate staff member. The U.S. Attorney General stated that the Department of Justice had not yet drawn conclusions about whether Alice Huang was engaged in espionage for Beijing.

In Taiwan, where Huang was once a beloved figure, public sentiment has shifted. A local shop owner, Jane Hsieh, expressed regret for the scandal, saying Huang had a “near-perfect public image.” Taiwan’s government confirmed it was aware of Huang’s travel itineraries in the country and has revoked Alice Huang’s entry permit. China has denied the espionage allegations, calling them “unsubstantiated and directed at smearing China.”

Nvidia employees were reportedly shocked by the second affair, which involved Kimberly Powell, an Nvidia executive. One employee told the BBC that the affair with a fellow executive made the situation feel “crazy.” Employees were instructed not to comment publicly on the matter. The company has launched an independent investigation into whether Huang was the target of a foreign intelligence effort.

Huang co-founded Nvidia in 1993 and led the company to become a central player in the AI revolution. Corporate governance expert Jeffrey Sonnenfeld noted that Huang had “lost his legitimacy to lead internally” and “external credibility in the eyes of key constituents.”

U.S. national security agencies are investigating the allegations, with the FBI reportedly looking into the affair with Alice Huang. Taiwan’s Interior Minister Liu Shyh-fang stated that authorities are “actively” investigating questions surrounding Megaspeed and Alice Huang. Nvidia has stated it has “no reason to believe that either national security or Nvidia secrets were compromised,” but the company has pledged to conduct a full inquiry.