Beijing Calls Nvidia Spy Claim a Smear as Jensen Huang Faces a Security Test

China has dismissed allegations involving Nvidia chief Jensen Huang and a Chinese business executive as a smear, while U.S. officials and lawmakers press security concerns. Nvidia says it has opened an inquiry but sees no evidence that secrets were compromised.
Beijing Calls Nvidia Spy Claim a Smear as Jensen Huang Faces a Security Test

Beijing Calls Nvidia Spy Claim a Smear as Jensen Huang Faces a Security Test
The controversy broke into public view on Sunday, when Jensen Huang acknowledged a relationship with Alice Huang, a Chinese business executive whom U.S. officials suspect of supplying information to Chinese intelligence. Nvidia said it had opened an investigation into its chief executive’s conduct, while its board said it had no reason to believe national security or company secrets had been compromised.

The allegations land amid a wider U.S. inquiry into whether Singapore-based Megaspeed helped route Nvidia’s advanced AI chips to China in breach of export controls. American officials have raised national-security concerns, and some lawmakers want Huang to testify before Congress — a sharp escalation for a company sitting at the center of the U.S.-China contest over artificial intelligence.

By Monday, Beijing had mounted an emphatic rebuttal. China’s Foreign Ministry dismissed reports that it had sent a spy to entrap Huang, calling the claims “pure fabrication out of thin air” and “nothing but a smear against China.” A separate report said Nvidia shares fell sharply as the scandal gathered momentum.

China’s response has been to minimize the espionage claims; nationalist commentators went further, framing the disclosure as a U.S. political operation. On Weibo, meanwhile, the affair became a spectacle around a technology celebrity long admired across Asia, with users focusing on Huang’s personal turmoil as much as the security accusations.

Huang has previously argued that Washington’s security concerns over chip sales are overstated and that cutting the United States off from China’s vast market risks eroding American technological leadership. The current episode tests that argument: Beijing says the case is a smear, while U.S. scrutiny is turning a private scandal into a geopolitical stress test for Nvidia.

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