FBI investigates Nvidia CEO's relationship

The Federal Bureau of Investigation has opened an inquiry into the personal relationship between Jensen Huang, the chief executive of Nvidia, and a former corporate executive.

President Donald Trump revealed the existence of the federal probe during a press conference at the White House on Monday. He stated that the investigation began after Huang admitted to an extramarital affair with Alice Huang, a woman identified in media reports as a former executive at Megaspeed, a Singapore-based data center firm.

Trump said he believes Huang is likely to withstand the scrutiny. The president quoted Huang telling him earlier that he had "absolutely no idea" the woman was an alleged intelligence agent. "He said I had no idea that she was a spy, and I really believe him," Trump told reporters.

Nvidia launched its own internal review on Sunday after the New York Times and the Financial Times published reports from last week. Those outlets cited an unnamed memo from US officials alleging that Alice Huang targeted the Nvidia CEO for intelligence gathering on behalf of China's Ministry of State Security. The company's board of directors said it had no reason to believe national security or corporate secrets were compromised, but an independent inquiry led by outside counsel will examine all available information.

In a separate statement, Jensen Huang apologized to his family, colleagues, and shareholders. He pledged to cooperate fully with the board's investigation. Alice Huang, who is not related to Jensen Huang, has not commented publicly on the allegations.

China's Ministry of Foreign Affairs rejected the US claims on Monday, describing them as entirely groundless and intended to smear China. Nvidia, based in Santa Clara, California, holds an estimated 80 to 90 percent of the market for graphics processing units used in artificial intelligence.

The stock of Nvidia, which has a market capitalization exceeding $4.30 trillion, closed Monday at $178.67, a decline of 4.27 percent.