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Shares of Microsoft were down 0.4% at $543.25, while Nvidia lost more than 6% and was last at around $167.11.
Microsoft $25 Billion Bond Sale.
Microsoft overtook Nvidia to become the world’s second-most valuable company on Tuesday as the chipmaker’s shares plunged amid concerns over the artificial intelligence (AI) outlook and an investigation into whether its CEO, Jensen Huang, was targeted by a foreign intelligence operation.
Microsoft shares were down 0.4% at $543.25, while Nvidia shares fell more than 6% to around $167.11.
The sell-off followed a series of revelations involving Nvidia CEO Jensen Huang and a Chinese businesswoman suspected by US intelligence officials of having links to Beijing. The developments have added to concerns surrounding the chipmaker, which has been at the centre of the global AI boom.
Nvidia has lost more than $400 billion in market value since the revelations emerged over the weekend, pushing it down to third place among the world’s most valuable companies, behind Apple and Microsoft.
What Is The Jensen Huang-Alice Huang Controversy?
Late last month, The New York Times reported that US intelligence officials had determined that Alice Huang, a Chinese executive associated with Singapore-based data centre company Megaspeed, had been passing information to Beijing.
The executive, also known as Huang Le, is not related to Nvidia CEO Jensen Huang, 63, who was born in Taiwan. According to the newspaper, she had developed a close relationship with the Nvidia chief.
At A Glance
Microsoft overtook Nvidia to become the world’s second-most valuable company on Tuesday.
Nvidia shares fell more than 6% to around $167.11 amid the sell-off.
Nvidia has lost more than $400 billion in market value since the revelations emerged.
Nvidia’s board of directors announced an independent investigation on Sunday following reports involving its CEO.
In a message to Nvidia employees released on Sunday, Jensen Huang acknowledged that he had been “unfaithful” to his wife and apologised for his actions.
“My actions hurt her and our children. There is no excuse for what I did. I am deeply sorry,” he said.
The controversy has also drawn the attention of US President Donald Trump, who has spoken with Huang about the allegations. The Nvidia chief is a central figure in the AI industry and has also served as an informal adviser to Trump on technology-related issues.
Trump told reporters on Monday that he had spoken to Huang and that the Nvidia CEO was “suffering greatly”.
“I asked him that question, ‘Did you have any idea that she was a spy?’ He said, ‘I had no idea that she was a spy,’ and I really believe him,” Trump said during a White House press briefing.
According to The New York Times, Alice Huang’s relationship with the Nvidia chief could potentially have given her insights into Trump’s thinking on artificial intelligence.
Trump was reportedly briefed about intelligence findings concerning Huang’s relationship with the businesswoman around a year ago but chose not to act on the information. He said on Sunday that he did not regret that decision, describing the Nvidia chief as “an honorable guy”.
Nvidia Board Launches Independent Probe
Nvidia’s board of directors announced on Sunday that it had launched an independent investigation following reports that its founder and CEO had been the target of a foreign intelligence operation.
“While the board has no reason to believe that either national security or Nvidia secrets were compromised, the board’s inquiry will examine all available information,” the company said in a statement.
Meanwhile, China has rejected the allegations against Alice Huang. Foreign Ministry spokesperson Guo Jiakun said at a regular briefing on Monday that “the narrative of a so-called Chinese spy is entirely baseless vilification and smearing”.
The controversy comes amid growing technological rivalry between the United States and China. Washington has imposed restrictions on exports of the most advanced semiconductor chips to China, citing national security concerns.
Megaspeed has also come under scrutiny over allegations that it may have facilitated the diversion of Nvidia AI chips to China, The New York Times reported, citing people familiar with the matter.
Nvidia is a global leader in manufacturing the advanced processors used to train and run artificial intelligence models. Its chips have become critical to the global AI industry, making the company one of the world’s most valuable businesses.
Quick Answers
Ask News18Nvidia’s shares fell more than 6% due to uncertainty surrounding the artificial intelligence outlook and an ongoing investigation into whether CEO Jensen Huang was targeted by a foreign intelligence operation.
Ask News18About the Author
Saurabh Verma is a Deputy News Editor at News18.com, specialising in Indian politics and breaking global news. With years of experience tracking election strategies, he decodes domestic issues for mil…Read More
New York, United States of America (USA)
November 10, 2026, 11:08 PM IST
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