Trump says FBI probing Nvidia's Jensen Huang over alleged affair with Chinese spy

US President Donald Trump said the FBI was looking into Nvidia CEO Jensen Huang's affair with a woman alleged to be a Chinese agent, adding that Huang had no idea she was allegedly a spy and would be fine.

In Short

• Trump says he spoke to Huang and believes he will be fine
• Nvidia launches independent investigation into reported foreign intelligence effort
• China rejects allegations, calls them a smear campaign

US President Donald Trump on Monday said the FBI was looking into Nvidia CEO Jensen Huang's affair with a woman alleged to be a Chinese government agent, adding that the tech executive had no idea she was allegedly involved in espionage.

Speaking at a White House briefing, Trump said he had spoken to Huang earlier in the day and believed the Nvidia chief would be fine.

"I know the FBI is looking into it in terms of something else, and I think that he'll be in good shape," Trump said.

"I did speak to him today just to see if he's feeling all right, how you're doing. He said he had absolutely no idea that the person in question was a spy," he added.

The reported links have triggered concerns in Washington and the technology sector over whether China may have gained access to sensitive information about Nvidia's advanced artificial intelligence chips.

TRUMP NONCOMMITTAL ON RAISING ISSUE WITH XI

Trump is scheduled to meet Chinese President Xi Jinping next week in Shenzhen, China, on the sidelines of the Asia-Pacific Economic Cooperation summit.

Asked whether he would raise the allegations with Xi, Trump was noncommittal.

"No, I don't think so. I mean, maybe. I'm sure President Xi will ask me about it. I just know Jensen very well. I just think he's a very honourable man," he said.

China on Monday rejected the allegations, describing claims that Beijing used the woman to gather intelligence on Huang as unsubstantiated and part of a smear campaign against the country.

"The so-called Chinese spy allegation is unsubstantiated. It is nothing but smears against China," Chinese Foreign Ministry spokesperson Guo Jiakun said during a regular briefing.

NVIDIA LAUNCHES INDEPENDENT INVESTIGATION

Nvidia announced on Sunday that it was conducting an independent investigation into reports that Huang had been the "target of a foreign intelligence effort".

Huang has acknowledged being intimate with a business executive and issued an apology to his wife and the company in an open letter published on Nvidia's website. He did not identify the woman.

"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," Huang said in the letter.

The New York Times reported that US intelligence had determined that the woman was gathering information for Beijing.

The newspaper identified her as Alice Huang, a former executive at Singapore-based data centre company Megaspeed International. The company, whose website highlights its partnership with Nvidia, had previously faced allegations of illicitly shipping advanced Nvidia chips into China.

Megaspeed International and Singapore's Ministry of Home Affairs did not immediately respond to requests for comment.

QUESTIONS OVER SENSITIVE CHIP INFORMATION

The allegations have raised questions about whether confidential or strategically sensitive information about Nvidia's technology could have been compromised.

"The key questions are whether he was aware of any espionage activities and whether any confidential or strategically sensitive information was compromised," George Chen, a partner and chair of digital practice at Washington-based consultancy The Asia Group, told reporters.

"Those questions require evidence rather than speculation," he added.

Huang has repeatedly lobbied Washington to ease restrictions on Nvidia's chip sales to China. Trump approved the sale of the company's H200 chips to China this year, although it remains unclear whether Beijing will allow domestic companies to purchase them in large quantities.

Nvidia said in a regulatory filing in August that it had sold only a small quantity of chips to China, citing restrictions imposed by the Chinese government.

The H200 is not Nvidia's most advanced chip but remains a powerful processor for artificial intelligence development. Huang had earlier also lobbied for permission to sell the less advanced H20 chips, which were designed to comply with US export restrictions.

Nvidia shares fell around 5 per cent in pre-market trading on Monday following the reports.

Chinese state media largely focused on Huang's admission of the affair, while some outlets suggested the allegations were intended to undermine improving relations between Washington and Beijing.

"Whenever China-US relations begin to improve, there are often those firing shots from the shadows," the state-owned Global Times said.

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