A short seller flagged Nvidia CEO’s ties to a suspected Chinese spy six months before the scandal

Summary

• Six months before the Nvidia spy scandal emerged, Culper Research raised questions about the relationship between Nvidia CEO Jensen Huang and Alice Huang, an executive at Megaspeed.
• Jensen Huang admitted to an extramarital affair, prompting Nvidia to open a formal investigation into his relationship with Alice Huang, who shares his last name but is not related.
• U.S. intelligence officials believe Alice Huang was recruited by the Chinese government to collect intelligence on Jensen Huang and influence his position regarding U.S. export controls on advanced AI chips.
• Culper Research's May 13 report described the connection between the two executives as "uncomfortably close" and noted that some Nvidia employees wondered if they had a "special relationship."
• The report theorized that Nvidia's lost China business was rerouted through Southeast Asia via Megaspeed, which it claimed was secretly financed by Alibaba through shell companies.
• Financial records cited in the report showed Megaspeed's total liabilities and equity grew from $33 million at the end of 2023 to around $3 billion by the end of 2024, largely in refundable deposits from an unidentified source.
• The Financial Times reported that documents show Alibaba lent money to Megaspeed through subsidiaries.
• Culper Research is a short seller that stood to financially benefit from making these allegations, which have not been independently verified.