NEW YORK: Shares of Nvidia plunged again Tuesday as scrutiny on the artificial intelligence giant intensified after its CEO acknowledged an affair with a woman believed to be a Chinese spy.
Near 1715 GMT, the chip specialist was down 6.3 percent at $167.35.
Since the weekend's revelations about CEO Jensen Huang, Nvidia has lost more than $400 billion in market value, dropping it to third among the world's biggest companies by value, behind Apple and Microsoft.
Investigations into whether Nvidia's CEO was the target of a "foreign intelligence effort" are raising questions about the future of the chipmaker, which became one of the world's most valuable companies by providing technology that powered the artificial intelligence boom.
Jensen Huang has been synonymous with Nvidia since he co-founded it more than 30 years ago. The company now faces potential damage to its reputation and stock price, uncertainty over a possible successor and new scrutiny from shareholders and elected officials.
President Donald Trump said Monday that the FBI is investigating Huang's affair with an alleged Chinese government agent. But Trump said he spoke with the executive and believes Huang "had absolutely no idea that the person in question was a spy."
With a valuation of more than $4 trillion, the company has outsized importance as a Wall Street behemoth and provider of chips relied upon by AI developers. Law enforcement and members of Congress, as well as Nvidia's board and shareholders, are all asking questions about the affair. The company's shares dropped more than 4% Monday and continued sinking Tuesday morning.
