Culper Research, a New York-based short seller, published a report on May 13 that flagged an "uncomfortably close" relationship between Nvidia CEO Jensen Huang and Alice Huang, an executive at Singapore-based chip buyer Megaspeed. Six months later, U.S. intelligence officials identified Alice Huang as a suspected Chinese spy recruited to collect intelligence on Jensen Huang and influence his stance on AI chip export controls. Jensen Huang admitted to an extramarital affair over the weekend, and Nvidia opened a formal investigation.
Culper's May report alleged that Megaspeed's liabilities and equity grew from $33 million at the end of 2023 to around $3 billion by the end of 2024, mostly from refundable deposits from an unidentified source. The firm theorized that Nvidia business lost to export controls had been rerouted through Southeast Asia and that Megaspeed was secretly financed by Chinese tech giant Alibaba through shell companies. The Financial Times reported Monday that documents show Alibaba lent money to Megaspeed through subsidiaries.
Culper also claimed some Nvidia employees wondered whether Jensen Huang and Alice Huang had a "special relationship" and noted the CEO was spotted socializing with her on multiple occasions. As a short seller, Culper stood to financially benefit from these allegations. The claims about illegal chip diversion have not been independently verified.