A detailed warning from a New York short selling firm is gaining fresh attention after it became clear that Nvidia CEO Jensen Huang had developed an intimate relationship with a woman now suspected of being a Chinese operative. Culper Research first sounded the alarm in May, describing the bond between Huang and Alice Huang, an executive at the Singaporean firm Megaspeed, as uncomfortably close. At the time, the report noted that employees within Nvidia were already questioning the nature of their association after seeing the pair socialize frequently.
The situation escalated over the weekend when Jensen Huang admitted to having an extramarital affair with Alice Huang, who despite sharing his surname is not a relative. In response, Nvidia has launched a formal internal investigation into the matter. US intelligence officials now suspect that Alice Huang was recruited by the Chinese government specifically to gather sensitive information on the CEO and potentially sway his views on American export restrictions regarding high end artificial intelligence chips.
Beyond the personal scandal, Culper Research had originally used its findings to suggest that Nvidia faced a systemic problem with how its technology reached China. The firm alleged that restricted chips were being diverted through Southeast Asia via Megaspeed, which they claimed was secretly funded by Alibaba through various shell companies. To support this theory, Culper highlighted a massive spike in Megaspeed’s financial liabilities, which jumped from thirty three million dollars in late 2023 to roughly three billion dollars by late 2024.
While recent reporting from the Financial Times suggests that Alibaba did indeed provide loans to Megaspeed through subsidiaries, some aspects of the short seller’s claims remain unverified. Critics point out that Culper Research stood to profit financially if Nvidia’s stock price dropped following these revelations. Nevertheless, the timing of their initial report serves as a stark reminder of how long these red flags existed before they evolved into a national security concern for US authorities.