Nvidia replaces Jensen Huang with Colette Kress
Continues from this morning. New: Nvidia accepted Jensen Huang's resignation and named Colette Kress interim chief.
Nvidia's board accepted Jensen Huang's resignation on 12 November, ending a 33-year run for the co-founder who turned the Santa Clara chipmaker into the central supplier of artificial-intelligence hardware. The board named Colette Kress, chief financial officer since 2013, as interim chief executive. The announcement followed a week of reports about Jensen Huang's personal relationships, first with Alice Huang, a former executive at Megaspeed in Singapore, then with Kimberly Powell, Nvidia's vice-president for healthcare and a direct report to him.
Shares fell more than 7% in after-hours trading on 11 November and were down 6.8% before the open the next day. The company lost about $400bn in market value during the first sessions of the week, and investors filed a US class action accusing Nvidia and Jensen Huang of concealing material information. Nvidia has also hired former federal prosecutor Joon H. Kim and Wachtell, Lipton, Rosen & Katz to examine the Alice Huang relationship.
“strength has always come from its people”
The affair scandal is awkward enough. The intelligence angle makes it worse. Nvidia said over the weekend that it was investigating whether Jensen Huang had been the target of a foreign intelligence effort, while US officials reportedly described Alice Huang as working for Chinese intelligence services. China rejected the spying allegation and warned Washington not to use it to restrict chip sales again. Kress inherits no public succession plan, a flatter-than-usual management structure and an AI boom that investors had priced for perfection.
Reporting from: europa press, AP NEWS, Adnkronos, ANSA.it
