The controversy surrounding Nvidia founder & CEO Jensen Huang has raised questions about the future leadership and succession planning at the company. At $4 trillion, the chipmaker is second only to Apple in terms of valuation.
A report in the The Wall Street Journal says that Huang runs a very flat leadership structure with about 60 direct reportees and there is no visible second rung of leadership or any potential successors in the company.
This has become an important question for Nvidia as Huang will come under increased scrutiny for his improper relationship with a Chinese national Alice Huang, who is allegedly a spy for the Chinese government. This relationship supposedly enabled China to get access to the high-end processors of Nvidia.
Also, reports quoting United States President Donald Trump said that the Federal Bureau of Investigation (FBI) is looking into the relationship between the Nvidia CEO and the Chinese national. Trump has defended Huang as a very "honorable" man.
In addition, the US Congress will also come into the picture seeking information on the kind of relationship and whether any sensitive technology has been passed onto China bypassing regulation.
However, reports also quoting an Nvidia spokesperson said, Jensen Huang is committed to continuing to lead Nvidia as CEO without interruption.
The Board of Nvidia has already stated that it would be investigating the entire matter.
The leadership question comes into picture as there is the angle of national security with regard to the CEO’s relationship with the Chinese citizen and this brings the government into the picture.
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